RRI Live!

Listen to Radio Romania International Live

The EU, whereto?

German Chancellor Angela Merkel and French President Francois Hollande identify the major threats to Europes stability.

The EU, whereto?
The EU, whereto?

, 17.02.2017, 13:04

The rise of populism in Europe, the crisis caused by Brexit, the risk that the new administration in Washington might break the trade agreements with Europeans have all been identified by German Chancellor Angela Merkel and the French President Francois Hollande as major threats to Europe’s stability. According to the two leaders, these challenges can only be dealt with if member states, European institutions, the main economic actors and civil society cooperate with a view to ensuring the stability and prosperity of European citizens.



In this equation, the financial part plays a critical role. The economic and monetary union requires the coordination of the member state’s economic and fiscal policies, a common monetary policy and a single European currency: the Euro. But, although all the 28 EU members are part of the economic union, some of them took integration further by the adoption of the single currency, forming the so-called Euro Zone, while others, such as Great Britain, Denmark and Sweden, did not agree with adopting the Euro.



At the same time, the countries that are now in the process of adopting the Euro are not giving any signals that they may be willing to speed up the process. The crisis made the single currency’s flaws surface, says economist Joseph E. Stiglitz, a Nobel Prize winner. Stiglitz shows the way in which the current structure actually leads to divergence rather than convergence. According to him this is the direct result of the challenges posed by the existence of a diverse group of countries that adopted the euro, in the context in which economic integration is much behind political integration.



From an economic point of view, prospects seem positive. According to the winter forecast made public these days by the European Commission, essentially all EU economies are expected to grow between 2017 and 2018 for the first time in 9 years. According to Pierre Moscovici, European Commissioner for Economic and Financial Affairs, Taxation and Customs, the European economy proved its resilience in the face of the many shocks it experienced in 2016. Economic growth has been maintained while the level of unemployment and deficits has been on a downward trend.



However, given the high level of uncertainty, it is more important to use all political instruments to support economic growth, Pierre Moscovici added: “In 2016 the EU’s GDP increased by 1.9% and will continue to increase by 1.8% both in 2017 and 2018. Growth in the Euro zone will be 1.6% in 2017 and 1.8% in 2018, after in 2016 it stood at 1.7%. This means that this is the 5th year in a row when the EU economy reported growth, despite the many challenges we have all faced. And I mean both internal and international challenges. Last year, the EU had to cope with the lowest pace of activity growth and world trade in the past 7 years. And it also had to face geopolitical tension and of course terrorist attacks that occurred both on our territory and in other parts of the world. Therefore, the context is difficult and, moreover, we are facing new challenges such as the Britons’ vote to exit the EU and the European citizens’ discontent with or major tension regarding globalization. This has become visible following certain choices that will have an impact on world economy. And let’s not forget the fragility of the banking system, which we also have to cope with.”



The EU’s cohesion seems to be affected both by the decision of Great Britain to leave the EU and by other decisions such as that of imposing refugee quotas, analysts say. Press commentators have frequently written about the likelihood of other countries leaving the community bloc. And in the 2017 election year this seems to be a campaign topic for many parties.



MEP Iuliu Winkler, the vice-president of the European Parliaments Commitee on International Trade explains: “The anti-crisis measures have opened the doors to populism, have opened doors and deepened already existing gaps. These gaps were not that deep in the past, and I’m referring to the gaps between the East and the West, the North and the South in terms of the culture of work, budgetary and financial discipline as well as in terms of eastern European societies’ reaction, given that these countries lived on the wrong side of the Iron Curtain for 50 years. And all these things worsened as two years ago they received a bigger blow from the migration crisis and all the other crises.”



Iuliu Winkler recalls that 2016 was marked by two unexpected events, the result of the referendum on Brexit and of the presidential election in the US. Moreover, he added that in a few weeks’ time we would see the British PM Theresa May announce the start of Brexit procedures, big changes are in store, therefore it is hard to say that 2017 will be a quiet year.

Photo: ckstockphoto / pixabay.com
The Future Starts Today Friday, 22 November 2024

The Future of Healthcare in Romania

  The COVID-19 pandemic has shown that up-to-date health-related data is a critical instrument in effective public health measures and...

The Future of Healthcare in Romania
Photo: ckstockphoto / pixabay.com
The Future Starts Today Friday, 15 November 2024

A Result That Everyone Cares About

The outcome of the US presidential election and how it will influence global developments is at the center of international attention. The return to...

A Result That Everyone Cares About
Energy (foto: EdWhiteImages / pixabay.com)
The Future Starts Today Friday, 08 November 2024

Energy Objectives

The European Union’s net greenhouse gas emissions are now 37% below 1990 levels, while the GDP grew by 68% over the same period, demonstrating...

Energy Objectives
Klaus Iohannis and Maia Sandu (photo: presidency.ro)
The Future Starts Today Friday, 01 November 2024

The Republic of Moldova Closer to the EU

The citizens of the Republic of Moldova voted, on October 20, in favor of amending the country’s Constitution to support its accession to the...

The Republic of Moldova Closer to the EU
The Future Starts Today Friday, 18 October 2024

October, the European month of cybersecurity

The European Cyber Security Month is an annual campaign that promotes awareness and best practices in online cyber security, providing information on...

October, the European month of cybersecurity
The Future Starts Today Friday, 11 October 2024

The Pace of Aging

“Youth is about optimism, well-being, and a goal to fight for” – this is the creed that underpinned the work of Ana Aslan, one of...

The Pace of Aging
The Future Starts Today Friday, 04 October 2024

Major plan for the re-industrialization of Romania

For the first time in the last 35 years, a major plan for the re-industrialization of the country was announced in Romania. With a value of 3 billion...

Major plan for the re-industrialization of Romania
The Future Starts Today Friday, 20 September 2024

Energy for the future

    Over the past few years, the European Union has managed to withstand critical risks to its security of energy supply, regain control...

Energy for the future

Partners

Muzeul Național al Țăranului Român Muzeul Național al Țăranului Român
Liga Studentilor Romani din Strainatate - LSRS Liga Studentilor Romani din Strainatate - LSRS
Modernism | The Leading Romanian Art Magazine Online Modernism | The Leading Romanian Art Magazine Online
Institului European din România Institului European din România
Institutul Francez din România – Bucureşti Institutul Francez din România – Bucureşti
Muzeul Național de Artă al României Muzeul Național de Artă al României
Le petit Journal Le petit Journal
Radio Prague International Radio Prague International
Muzeul Național de Istorie a României Muzeul Național de Istorie a României
ARCUB ARCUB
Radio Canada International Radio Canada International
Muzeul Național al Satului „Dimitrie Gusti” Muzeul Național al Satului „Dimitrie Gusti”
SWI swissinfo.ch SWI swissinfo.ch
UBB Radio ONLINE UBB Radio ONLINE
Strona główna - English Section - polskieradio.pl Strona główna - English Section - polskieradio.pl
creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti
italradio italradio
Institutul Confucius Institutul Confucius
BUCPRESS - știri din Cernăuți BUCPRESS - știri din Cernăuți

Affiliates

Euranet Plus Euranet Plus
AIB | the trade association for international broadcasters AIB | the trade association for international broadcasters
Digital Radio Mondiale Digital Radio Mondiale
News and current affairs from Germany and around the world News and current affairs from Germany and around the world
Comunità radiotelevisiva italofona Comunità radiotelevisiva italofona

Providers

RADIOCOM RADIOCOM
Zeno Media - The Everything Audio Company Zeno Media - The Everything Audio Company