Not So Isolated

Friday, December 9th, 2011

It’s the make-or-break EU summit, going on now within the cavernous Justus Lipsius European Council building in the Brussels European Quarter. Will what issues from this conference be enough to save the euro?

The answer to that remains up in the air, as the summit continues into the weekend. What we do already know, however, is that an important split has occurred within the EU, resulting from the failure of German Chancellor Merkel and French President Sarkozy to have accepted by all 27 member-states their proposals for greater national budget control and coordination. Now the action on that front has shifted to the group of 17 member-states who actually use the euro.

The excellent “Charlemagne” commentator from the Economist has already termed this development Europe’s great divorce, in an article (in English, of course) featuring at its head a picture of the defiant-looking British PM David Cameron pointing an aggressive finger towards the camera. And indeed, this one and many other press reports from the summit would have their readers believe that the UK is isolated in its stand of resistance against those “Merkozy” proposals for greater EU power over national budgets. That is certainly also the message from the authoritative German newspaper Süddeutsche Zeitung, where an analytical piece from Michael König is rather dramatically entitled Bulldog Cameron bites the British into isolation.

But such observers should be careful about rushing into any over-hasty conclusions. They should remember that a number of other member-states share an attitude towards the EU rather closer to that of the UK than Germany or France. The Czech Republic, for instance:

iDnes: Klaus a Telička schvalují rozvážnost v Bruselu, ČSSD varuje před izolací: Prezident Václav Klaus označil … http://t.co/Qh043Qmm

@Zpravy

Zpravy


(more…)

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A European Crisis Glossary

Saturday, August 6th, 2011

Amid all the brouhaha about S&P downgrading its rating for US Government debt, the parallel ongoing crisis in Europe should not be forgotten. “Crisis”? Take it away, Nouriel:

Definition of “crisis”: when officials need to huddle up on a weekend before Asia opening to take decisions & do statements a turmoil rages

@Nouriel

Nouriel Roubini


The Czech daily Mladá fronta dnes, as caught by the @Zpravy Twitter-feed, has the details on this particular edition:

iDnes: Lídři EU chtějí rychle realizovat závěry summitu. Uklidní tak trhy: Vlády musí urychleně dokončit dohody … http://bit.ly/oLaqvt

@Zpravy

Zpravy


Turns out, if you like, that you can blame everything on European vacation syndrome (e.g. “No one touches my August holiday!”): EU leaders want to quickly carry out changes from summit, that way they’ll calm markets is the headline here.

  • “Summit”? That’s the one they just had, of course, an extraordinary convening in Brussels on July 21 in reaction to the Italy/Spain funding troubles.
  • “Changes”? That has to do with the European Financia Stability Facility (EFSF), which leaders at that summit agreed would be beefed up to better be able to intervene to assist eurozone member-states in financial need, eventually even becoming a sort of European Monetary Fund.

(more…)

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