Comment on Southfront’s website by Niall (whose opinion I completely support):
“As soon as the results of the referendum were known, Brussels bureaucrats joined by Angela Merkel in Germany and some other EU countries leaders launched a fierce anti-British information campaign.”
You have that backwards. Who leaked the ‘European superstate plan’? Which media is loudest? Who is making threats? Who is really doing the ‘color revolutionizing’? Hint; it isn’t ‘Europe’, Merkel, France or Brussels…
I’d add to his comment: so if Merkel or Hollande act or speak in defense of their own country’s interests, and not the UK’s, now they are launching an information war? Where have we heard that before??
While the world Press is searching for ways to re-start the reconstruction of Europe, still without Russia and now without the United Kingdom, Thierry Meyssan considers that nothing can now prevent the collapse of the system. However, he points out, what is at stake is not the European Union itself, but the institutions which enable the domination of the world by the United States, and the integrity of the United States themselves.
Voltaire Network | Damascus (Syria) | 28 June 2016
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Favourable to the Brexit, Queen Elizabeth is now able to reorient her country towards the yuan.
No-one seems to comprehend the consequences of the British decision to leave the European Union. Those commentators who interpret party politics, and who forfeited their understanding of international challenges a long time ago, have been concentrating on the elements of an absurd campaign – on one side, the adversaries of uncontrolled immigration, and on the other, the «bogeymen» who have been threatening the United Kingdom with the direst of torments.
But the stakes of this decision have nothing to do with these themes. The discrepancy between reality and the discourse of the political media illustrates the disease from which the Western elite is really suffering – their incompetence.
While the veil is being ripped apart before our eyes, our elites do not understand the situation any better than the Communist Party of Soviet Russia could see the consequences of the fall of the Berlin Wall in November 1989 – the dissolution of the USSR in December 1991, then the Council for Mutual Economic Assistance (Comecon) and the Warsaw Pact six months later, followed by the attempts to dismantle Russia itself, in which it almost lost Chechnya.
In identical fashion, we will soon be witnessing the dissolution of the European Union, then NATO, and unless they pay close attention, the dismantling of the United States.
What interests are behind the Brexit?
Contrary to the boastful claims of Nigel Farage, UKIP was not the originator of the referendum it has just won. The decision was imposed on David Cameron by the members of the Conservative Party.
For them, London’s policy must be a pragmatic adaptation to the evolution of the world. This «nation of shop-keepers», as Napoleon qualified it, observes that the United States are no longer either the world’s prime economy or its major military power. There is therefore no further reason to hang on as their privileged partner.
Just as Margaret Thatcher never hesitated to destroy British industry in order to transform her country into an international financial centre, in the same way the Conservatives did not hesitate to open the door for the independence of Scotland and Northern Ireland – and thus the loss of North Sea oil – in order to transform the City into the primary off shore financial centre for the yuan.
The Brexit campaign was largely supported by the Gentry and Buckingham Palace, who mobilised the popular Press to call for a return to independence.
Contrary to the interpretations published in the European Press, the departure of the British from the EU will not happen slowly, because the EU will collapse faster than the time necessary for the bureaucratic negotiations concerning their withdrawal. The Comecon states did not have to negociate their exit, because the Comecon had ceased to function as soon as the centrifugal movement began. The member states of the EU who hang on, desperately trying to save whatever remains of the Union, will fail in their adaptation to this new distribution, and run the risk of experiencing the painful convulsions of the first few years of the new Russia – a vertiginous drop in the standard of living and life expectancy.
There is an urgent need to reform the institutions in order to save the hundred thousand civil servants, elected officials and European collaborators who will inevitably lose their jobs, and the national elites who are also tributary to the system. All of them wrongly believe that the Brexit has opened a breach into which the Euro-sceptics will plunge. But the Brexit is only a response to the decline of the United States.
The Pentagon, which is currently preparing the NATO summit in Warsaw, has not yet understood that it is no longer in a position to browbeat its allies into increasing their Defence budget and backing up their military adventures. Washington’s domination of the world is over.
We are moving into a new era.
What is going to change?
The fall of the Soviet bloc was first of all the death of a certain vision of the world. The Soviets and their allies wanted to build a united society in which as many things as possible were to be considered common property. They succeeded in creating a Titanic bureaucracy and a grim bouquet of comatose leaders.
The Berlin Wall was not destroyed by anti-communists, but by a coalition of the Communist Youth and the Lutheran Churches. Their intention was to refound the Communist ideal, but liberated from the Soviet yoke, the political police and the bureaucracy. They were betrayed by their elites, who, after having long served the interests of the Soviets, did an eager about-face and rushed to serve the interests of the United States. The most passionate of Brexit voters are attempting to regain their national sovereignty, and make the leaders of Western Europe pay for the arrogance they showed in imposing the Treaty of Lisbon after the popular rejection of the European Constitution (2004-07). They too may be disappointed by what comes next.
The Brexit marks the end of the ideological domination of the United States, that of the dime-store democracy celebrated as the «Four Freedoms». In his address on the State of the Union in 1941, President Roosevelt defined them as (1) Freedom of Speech and expression, (2) the Freedom of all people to honour their God in the way they choose, (3) Freedom from need, (4) Freedom from Fear [of foreign aggression]. If the English are going to return to their traditions, continental Europeans are going to revisit the questions posed by the French and Russian revolutions concerning the legitimacy of power, and shake up their institutions at the risk of sparking a new Franco-German conflict.
The Brexit also marks the end of the military-economic domination of the US, since NATO and the EU are simply the two sides of a single coin – even if the construction of their Foreign Policy and Common Security took longer to implement than that of free exchange. Recently, I was writing a note on this policy in terms of the situation in Syria. I examined all the internal documents of the EU, both public and unpublished, and arrived at the conclusion that they had been written without any knowledge of the reality on the ground, but from notes taken by the German Minister for Foreign Affairs, who was himself reproducing the instructions of the US State Department. A few years earlier, I had to do the same job for another state, and had arrived at a similar conclusion (except that in this other case, the intermediary was not the German, but the French government).
First consequences within the EU
Currently, the French trade unions are rejecting the project for a law on Labour which has been drawn up by the Valls government on the basis of a report by the European Union, which itself was inspired by instructions from the US State Department. While the mobilisation of the CGT (General Confederation of Labour) has enabled the French people to discover the role of the EU in this affair, they still have not grasped the EU-USA connection. They have understood that by inverting the standards and placing company agreements above branch agreements, the government was in fact questioning the preeminence of the Law over the contract – but they do not know about the strategy of Joseph Korbel and his two children, his natural daughter, the Democrat Madeleine Albright, and his adopted daughter, the Republican Condoleezza Rice. Professor Korbel assured that in order to dominate the world, all Washington needed to do was impose a re-writing of international relations in Anglo-Saxon legal terms. Indeed, by placing the contract above the Law, Anglo-Saxon legalese privileges, in the long term, the rich and powerful over the poor and needy.
It is probable that the French, the Dutch, the Danes and others will try to detach themselves from the EU. For that, they will have to confront their ruling class. Though the duration of this combat is unforseeable, its issue leaves no doubt. In any case, in the period of upheaval which is coming, the French workers will be difficult to handle, unlike their English counterparts, who are currently disorganised.
First consequences for the United Kingdom
Prime Minister David Cameron played the summer holiday card in order to postpone his resignation until October. His successor, probably Boris Johnson, therefore has the time to prepare the change which can be implemented as soon as he arrives at Downing Street. The United Kingdom will not wait for its definitive exit from the EU to develop its own policy – to begin with, dissociating itself from the sanctions levied against Russia and Syria.
Contrary to what the European Press claims, the City of London is not directly concerned by the Brexit. Because of its particular status as an independent state placed under the authority of the Crown, it has never been part of the European Union. Of course, it will no longer be able to shelter the head offices of certain companies which will retreat back into the Union, but on the contrary, it will be able to use the sovereignty of London to develop the yuan market. Already in April, it obtained the necessary privileges by signing an agreement with the Central Bank of China. Besides which, it may develop its activities as a fiscal paradise for Europeans.
While the Brexit will temporarily disorganise the British economy while it waits for a new set of rules, it is probable that the United Kingdom – or at least England – will reorganise rapidly for its own greater profit. We’ll have to wait and see if the creators of this earthquake will have the wisdom to share its rewards with their people. The Brexit is a return to national sovereignty, but it does not guarantee popular sovereignty.
The international landscape may evolve in many different ways according to the coming reactions. But even if things turn out badly for some people, it’s always better to adhere to reality, as the British have done, rather than clinging to a dream until it shatters.
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A strong Europe in a world of uncertainties
The decision of the British people marks a watershed moment in the history of Europe. The European Union is losing not only a member state, but a host of history, tradition and experience, with which we shared our journey throughout the past decades. France and Germany therefore take note of this decision with regret. This creates a new situation and will entail consequences both for the United Kingdom and for the EU. The Treaty of Lisbon sets out the procedures for the orderly departure of a Member State (article 50). Once the British Government has activated these procedures, we will stand ready to assist the institutions in the negotiations clarifying the future relationship between the EU and the UK.
The British case is unique. But we must also acknowledge that support and passion for our common project has faded over the last decade in parts of our societies. Nei-ther a simple call for more Europe nor a phase of mere reflection can be an adequate answer. To prevent the silent creeping erosion of our European project we have to be more focused on essentials and on meeting the concrete expectations of our citizens. We are convinced that it is not the existence of the Union that they object to but the way it functions. Our task is twofold: we have to strictly focus our joints efforts on those challenges that can only be addressed by common European answers, while leaving others to national or regional decision making and variation. And we must deliver better on those issues we have chosen to focus on.
France and Germany remain most firmly of the belief that the European Union provides a unique and indispensable framework for the pursuit of freedom, prosperity and security in Europe, for shaping peaceful and mutually beneficial relationships amongst its people and for contributing to peace and stability in the world. Our two countries share a common destiny and a common set of values that provide the foundation for an ever closer union between our peoples. We will therefore move further towards political union in Europe and invite the other Europeans to join us in this endeavour.
France and Germany recognise their responsibility to reinforce solidarity and cohesion within the European Union. To that end, we need to recognise that member states differ in their levels of ambition member state when it comes to the project of European integration. While not stepping back from what we have achieved, we have to find better ways of dealing with different levels of ambition so as to ensure that Europe delivers better on the expectations of all European citizens.
We believe the EU can and needs to develop common answers to today’s challenges abroad and at home. In a context of rising global challenges and opportunities, we see the European Union as more necessary than ever and as the only framework capable of providing appropriate collective answers to the changing international environment. France and Germany will therefore promote a more coherent and a more assertive Europe on the world stage. To deliver better, Europe must focus on today’s main challenges – ensure the security of our citizens confronted with growing external and internal threats; establish a stable cooperative framework for dealing with migration and refugee flows; boost the European economy by promoting convergence and sustainable and job-creating growth and advancing towards the completion of the Economic and Monetary Union.
We are seeing the European Union being severely put to the test. It is challenged by a series of crises in its southern and eastern environment. It is recovering slowly on the path of economic growth. Looking back at the history of the European edifice, we strongly believe in the strength of the EU and its ability to overcome these situations. But something is new in these critical times, namely the perception that these crises jeopardise the very fabric of our societies, our values, our way of life. We see terrorists attempting to spread fear and division in our societies. We have to face increasingly interwoven internal and external challenges. We see the need to preserve the combination of growth, competitiveness and social cohesion which lies at the heart of our European model, while preserving our common values both internally and vis-à-vis the outside world.
We know there are no quick solutions to these very demanding problems. But we are determined to address them, working to deal with current challenges while remaining focused on important long-term issues. In this spirit, we have agreed on the following proposals.
A European Security Compact
The EU has to face a deteriorating security environment and an unprecedented level of threat. External crises have become more numerous, closer to Europe – both east and south of its borders – and more likely to have immediate consequences for European territory and the security of EU citizens. Power politics are back on the world stage and conflict is being imported into our continent. The terrorist threat is growing, feeding on complex networks in and outside Europe and stemming from crisis zones and unstable, war-torn regions all over the world. Europe’s role as a credible force for peace is more important than ever.
The security of EU member states is deeply interconnected, as these threats now affect the continent as a whole: any threat to one member state is also a threat to others. We therefore regard our security as one and indivisible. We consider the European Union and the European security order to be part of our core interests and will safeguard them in any circumstances.
In this context, France and Germany recommit to a shared vision of Europe as a security union, based on solidarity and mutual assistance between member states in support of common security and defence policy. Providing security for Europe as well as contributing to peace and stability globally is at the heart of the European project.
We see the EU as a key power in its neighbourhood but also as an actor for peace and stability with global reach. An actor able to make a decisive contribution to tackling global challenges and to support a rules-based international order underpinned by strategic stability, based on a peaceful balance of interests. We have considerable achievements that deserve recognition and can provide inspiration. The historic agreement on Iran’s nuclear programme was only possible because of the EU’s de-termined and persistent commitment. European engagement in the Minsk process has helped to contain a military confrontation in eastern Ukraine that could have easily spiralled out of control. Our diplomatic efforts have paved the way for a political settlement to the conflict which we will continue to pursue. In Libya, we support the emerging government of national accord endeavouring to address the risks posed by state fragility and instability in the Southern Mediterranean. Beyond the crises, we are convinced that Africa needs also a continuous commitment, being a continent of great challenges and opportunities.
One of the main features of today’s security environment is the interdependence between internal and external security, since the most dangerous and destabilising risks emanate from the interaction between external threats and internal weaknesses. To respond to this challenge, Germany and France propose a European Security Compact which encompasses all aspects of security and defence dealt with at the European level and thus delivers on the EU’s promise to strengthen security for its citizens.
A first step is to share a common analysis of our strategic environment and common understanding of our interests. France and Germany propose that the EU conduct regular reviews of its strategic environment, to be submitted and discussed at the Foreign Affairs Council and at the European Council. These reviews will be supported by an independent situation assessment capability, based on the EU intelligence and situation centre and expertise from outside European institutions, with production of strategic and intelligence analysis approved at European level.
– On the basis of this common understanding, the European Union should establish agreed strategic priorities for its foreign and security policy, in accordance with European interests.
– The European Union Global Strategy is a first step in that direction. But we need to push further: on a more contested and competitive international scene, France and Germany will promote the EU as an independent and global actor able to leverage its unique array of expertise and tools, civilian and military, in order to defend and promote the interests of its citizens. France and Germany will promote integrated EU foreign and security policy bringing together all EU policy instruments.
– The EU will need to take action more often in order to manage crises that directly affect its own security. We therefore need stronger and more flexible crisis prevention and crisis management capabilities. The EU should be able to plan and conduct civil and military operations more effectively, with the support of a permanent civil-military chain of command. The EU should be able to rely on employable high-readiness forces and provide common financing for its operations. Within the framework of the EU, member states willing to establish permanent structured cooperation in the field of defence or to push ahead to launch operations should be able to do so in a flexible manner. If needed, EU member states should consider establishing standing maritime forces or acquiring EU-owned capabilities in other key areas.
– In order to live up to the growing security challenges, Europeans need to step up their defence efforts. European member states should reaffirm and abide by the commitments made collectively on defence budgets and the portion of spending dedicated to the procurement of equipment and to research and technology (R&T). Within the EU, France and Germany propose the establishment of a European semester on defence capabilities. Through this process, the EU will support efforts by member states by ensuring the coherence of defence and capability-building processes and encourage member states to discuss the priorities of their respective military spending plans. The establishment of a European defence research programme will support an innovative European industry.
– The European Union must invest more in preventing conflict, in promoting human security and in stabilising its neighbourhood and regions affected by crisis all over the world. The EU should help its partners and neighbours develop their capacity and governance structures, to strengthen their crisis resilience and their ability to prevent and control emerging crisis as well as terrorist threats. France and Germany will conduct joint initiatives in stabilisation, development and reconstruction in Syria and Iraq when the situation allows. Together, France and Germany will strengthen their civilian crisis management tools and reaffirm their commitment to support and sustain political processes of conflict resolution.
– In order to ensure our internal security, the immediate challenges are primarily operational. The objectives are to implement and monitor EU decisions and make the best use of existing frameworks: PNR; Europol and its counterterrorism centre; the fight against terrorist financing; and EU action plans against trafficking of weapons and explosives. A special emphasis should be put on strengthening transport safety. We want also to increase our dialogue and cooperation with third countries in North Africa, the Sahel strip, the Lake Chad Basin, West Africa, the horn of Africa and the Middle East, as well as regional and sub-regional or-ganisations (African Union, G5).
– In order to address the root causes of terrorism, France and Germany will develop a European platform to share experience and best practice in preventing and counteracting radicalisation.
– In the medium term, we should work towards a more integrated approach for EU internal security, based on the following measures: creation of a European platform for intelligence cooperation, fully respecting national prerogatives and using the current frameworks (e.g. CTG); improvement of data exchange; European contingency planning for major crisis scenarios affecting several member states; creation of a European response capability; establishment of a European civil protection corps.
– In the longer term, it would make sense to enlarge the scope of the European public prosecutor’s office in future (currently limited to prosecuting offenses con-cerning the EU’s financial interests) to include fighting terrorism and organised crime. This would require harmonisation of criminal law among the member states.
In order to drive this effort, France and Germany propose that the European Council should meet once a year as a European Security Council, in order to address internal and external security and defence issues facing the EU. This European Security Council should be prepared by a meeting of Foreign Affairs, Defence and Interior Ministers.
Common European asylum and migration policy
Large-scale migration towards Europe will be the key challenge for Europe’s future.
There shall be no unilateral national answers to the migration challenge, which is a truly European challenge of the 21th century. Our citizens expect that we firmly regain control on our external borders while preserving our European values. We have to act jointly to live up to this expectation. Germany and France are convinced that it is high time to work towards establishing truly integrated European asylum, refugee and migration policy. Given the urgency of the matter, we should not rule out the possibility of a group of member states that share a sense of common responsibility making progress on common policies.
– Securing our external border is no longer exclusively a national task but also a common responsibility. We are determined that the EU should establish the world’s first multinational border and coast guard. In the short term, FRONTEX will be manned by mean of secondments from member states. France and Germany should propose a joint contribution to that end. Over the medium term FRONTEX should be scaled up not only in terms of having its own permanent staff but also with adequate technical equipment to fulfil this task.
– We also propose the creation of a European ESTA for visa-exempt third country nationals as a useful instrument to reinforce our borders and security.
– It is our common duty to protect those fleeing from war or political persecution. In our efforts we strive to allow refugees to find shelter as close to their homeland as possible.
– Asylum seekers reaching Europe have a right to be treated according to the Ge-neva Convention no matter where they reach our shores. To this end we must further harmonise and simplify our standards and procedures in specific areas. We shall stand ready to grant EU support for the establishment of efficient asylum systems where needed. Over the medium term the European Asylum Office should be transformed into a European Asylum Agency to support this process of standardisation and host joint databases to prevent the misuse of differences in standards as well as multiple registrations and discourage secondary movements. This European Asylum Agency would help reinforce convergence in the way applications for international protection are assessed, with due regard to the Dublin basic principles such as the responsibility of the member state of first en-try to deal with an asylum application.
– Solidarity remains a cornerstone of our European project. Citizens expect that the benefits and burdens of EU membership be evenly shared among member states. A situation in which the burden of migration is unevenly carried by a limited number of member states is unsustainable. As a first step, the Dublin system has to be improved to deal with exceptional circumstances by means of a permanent and binding mechanism which foresees burden sharing among all member states. If necessary, Germany and France stand ready to proceed on this matter with a group of like-minded partners.
– The EU must find a common answer to the rising number of migrants seeking to enter the EU for economic reasons. The asylum system is a misleading entry point for them to use. Europe should stay open to what migration and mobility can contribute to our societies in the fields of the economy, culture and diversity. We need to work towards a European Immigration Act that clearly states what the legal options are when it comes to working in Europe, taking into account the different states of national labour markets in the EU. At the same time, we have to improve EU tools and support in the field of return policy, underpinned by EU funds to finance the deportation of those who entered the EU illegally.
– In our relations with key countries of origin and transit, we will work to reduce push factors for irregular migration, for example by generating economic and social opportunities, particularly for young people. We expect constructive cooperation in crucial fields such as return and readmission, border management and control and the fight against migrant smuggling. Germany and France have already held high-level migration dialogues with a number of African states on behalf of the EU and will extend this dialogue to other countries. Root causes of migration, such as poverty, lack of security and political instability should also be addressed by the EU.
Finally, hosting and, in some cases, integrating refugees and migrants poses a challenge to all European societies that must be dealt with in a spirit of responsibility and solidarity. Germany and France do not share the same historical experience of immigration and integration but are committed to learning from each other. Through dialogue, exchange and cooperation, we intend to foster a more objective debate about the challenges and opportunities of immigration and integration for our societies. We hope thus to use the lessons we have learned to benefit other European states that are confronted with similar challenges.
Fostering growth and completing the Economic and Monetary Union
To this day, our common currency constitutes the most visible and ambitious under-taking of European unification. The euro has helped protect its member states from international speculation and contributed to building a common economic area. The euro reflects our commitment to the irreversibility of European integration.
However, we must admit that the crisis and its aftermath have shown up deficiencies that make citizens question whether the common currency delivers on its promises and even casts doubt on the sustainability of the project itself. We therefore intend to proceed on three fronts simultaneously: strengthening economic convergence, enhancing social justice and democratic accountability and improving shock resistance to safeguard the irreversibility of the euro. France and Germany have always seen it as their major responsibility to build a robust Eurozone able to assert its model in a more and more competitive world.
We believe we urgently need to revive this spirit to carry the debate forward. And it is the responsibility of our two countries to bilaterally proceed beyond that. We have to acknowledge that the requirements of membership and the fiscal implications stemming from the common currency have been higher than one could have expected when the euro was founded. We must therefore respect the wish of others to decide on their own when to join the euro.
– To overcome the crisis, the euro area has to enter into a renewed phase of economic convergence. To this end, France and Germany will shoulder the main responsibility of organising a process of economic convergence and political governance which balances obligations and solidarity to accompany the process. Surplus and deficit countries will have to move, as a one-sided alignment is politically unfeasible.
– Growth potential has been severely hampered by the crisis. Europe urgently needs to unlock the untapped potential inherent in the completion of the single market in specific sectors of strategic interest. France and Germany remain committed to bilateral initiatives to rapidly harmonise regulation and oversight as well as corporate tax schemes. To unlock growth and to increase the productivity of the European economy, a renewed effort for more investment, both private and public, is necessary. France and Germany reiterate their commitment to structural reforms to attract international investment and to further enhance the competiveness of their economies.
– In that respect, specific initiatives should be taken in order to foster growth and convergence between member states in strategic sectors such as energy, the digital sector, research and innovation or professional training. In the short term, common targets could be set, linked to regulatory objectives and investment means based on the amplification of the European Fund for Strategic Investment. Over the medium term, those strategic sectors should evolve towards a common regulatory framework and even a shared supervisory authority, and benefit from a structured European investment capability to foster convergence through cross-border investment. Bilateral initiatives by Germany and France should be undertaken within that framework.
– The current architecture of the euro is not sufficiently resilient to external shocks or internal imbalances. Leaving the EMU incomplete jeopardises the survival of our common currency in the long term. Completing the EMU will involve the con-tinuous intensification of political governance as well as fiscal burden sharing. In light of existing imbalances a deepening of the EMU will not come as a big bang but as the result of a pragmatic and gradual evolution taking into account the necessary results in terms of growth and employment. These results are indis-pensable to reinforce confidence in the European Union among member states and citizens and create the appropriate political conditions for new steps of inte-gration towards completing the EMU.
– We should acknowledge that EMU member states share different traditions of economic policy making, which have to be balanced out for the euro to function properly. A future architecture of the euro will neither be solely rules based nor prone to mere political decision making nor will it be steered exclusively by market forces. Every step in deepening the EMU will encompass all of these aspects.
– Since economic policy-making in the EMU is increasingly a domain of shared decisions, citizens rightly expect to regain control via supranational institutions accountable to them. In the short term a full time president of the Eurogroup should be accountable to a Eurozone subcommittee in the European Parliament. In the longer term, the Eurogroup and its president should be accountable to a parliamentary body comprising members of the European Parliament with the participation of members of national parliaments. This chamber should have full authority on any matters regarding fiscal and macroeconomic oversight.
– In this context we should develop the European Stability Mechanism (ESM) into a fully-fledged European Monetary Fund subject to parliamentary control.
– A fiscal capacity – a common feature of any successful monetary union around the globe – remains a missing keystone in the EMU architecture. In the long run it should provide macroeconomic stabilisation at the eurozone level while avoiding permanent unidirectional transfers. Whereas these capabilities should be built up over time and in line with progress on common decision making regarding fiscal and economic policy, it should start by 2018 at the latest to support investment in the member states most severely hit by the crisis. Germany and France should form a group prepared to lead on this matter.
– Public support for the euro is undermined by a lack of progress on its social dimension and fair taxation among its member states. Hence, as a general principle, any step to further deepen the EMU should be accompanied by progress in the field of common taxation, in particular with regard to transnational corporations, as well as the development of a social union underpinned by common social minimum standards.
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Urgent: A New Europe. Ayrault and Steinmeier prepare the way
http://www.voltairenet.org/article192573.html
Kerry and Stoltenberg get ready for the European Council
QE2 mobilise national press??? And orientate uk towards yuan???
Do not think so mr Thierry……any influence, only as symbolic figurehead for people to still believe in uk sovereignty, which could still be possble to reclaim.
Uk foreign policy to drop sanctions against Rus and Iran??
Do not thimk so, uk will follow behind usa, and it is until these “”onnections” are strangled by events such as Kerry saying to uk how brexit can be undone, that uk will become more sovereign and rapdily in its panic try to reclaim some kind of position of real value not symbolic independance that we only have so far..?????……real battles are still to come, political Reformation, re motivation of society for innovation, enterprise,reputable work standards and work quality in all its “output” which includes education, training, participation and inclusivity of all citizens. I feel a lot of uk is stuck in nostalgic past, retro lifestyles and thinking and behaviours, there is now a tremendous onus to fully revitalise uk it is incumbent on evetyone to do so, it really is up to us.
Great comment, JJ. As a Canadian, I am biased. Canada has enjoyed a relative abundance of political stability, largely due to its foundation from the British Empire. So I do believe the UK will be fine, and fully able to recreate these political achievements in the present time (minus the empire part!) Once the English, Scottish and Irish roll up their sleeves and really take on this challenge, I’m sure they will impress us once more with their results.
Ta…I think Words have been Spoken or communicated in some way to Boris today re his not standing for pm, I do personally regard him as some kind of “flimflam” personality, maybe Gove has been very strategic. I like the look and sound of Stephen Crabbe cf with anyone else. Listening to Cameron st pm question time actually his proposals as to how the negotiations were going to happen actually sounded very sensible and common sensible.Economic indicators seem to have largely returned to normal.Some eu suthorities seem genuinely willingly in constructive ways to asist uk with negotiations too.Soooo, we will see how it goes, which will be better recent years the media harping on about polltical infighting re in or out. Mark Carney the Canadian head of B of E semed very on the ball today as well…….although Max Keiser usually thinks otherwise………
Don’t worry about that, far bigger concerns of pressing concern, like the entire Eurozone bank system going t/u some weekend (likely followed within minutes by stateside).
Events such as this one posted today 30th are not the kind seen anywhere but at multi-sigma outliers, such as that Jun 23 BrExit vote which (supposedly) caused a 12-sigma move in the pound, a statistical rarity not supposed to be recorded in the age of the cosmos.
And while Angela Merkel apparently shut down the original proposal pitched by Italy, Europe – surely under the guidance of Mario Draghi – has found a way to circumvent her veto power.
“As this decision and other precedents demonstrate there are a number of solutions that can be put in place in full compliance with EU rules to address market turbulence,” the spokeswoman said.
To be sure, Italy’s market has indeed been turbulent: Italian banks have lost more than half of their market capitalization since the beginning of the year, as investors fret about the lenders’ huge exposure to bad loans. That compares to an average decline of less than one third for European lenders. Some Italian banks have seen their shares drop by some 75%.
Addendum.
Why Italy now?
Well, apparently it’s all a carousel, with news events coming back round to repeat.
I vaguely recall this now, but there’s been libraries of financial events since then.
At least they haven’t found an in to blame the Germans & Deutsche Bank….yet.
Here’s a 2011 chart & a 2011 article title on ZH tells all about why it IS Italy which is the far biggest threat by far to blow out the banking system. Debt & all is of course built up far higher & way worse since.
Some commenters saying this 150B Euros is mere pissant pocket change just a start to what’s coming. http://www.zerohedge.com/sites/default/files/images/user5/imageroot/draghi/Italy%20CDS.jpg
Comment on Southfront’s website by Niall (whose opinion I completely support):
“As soon as the results of the referendum were known, Brussels bureaucrats joined by Angela Merkel in Germany and some other EU countries leaders launched a fierce anti-British information campaign.”
You have that backwards. Who leaked the ‘European superstate plan’? Which media is loudest? Who is making threats? Who is really doing the ‘color revolutionizing’? Hint; it isn’t ‘Europe’, Merkel, France or Brussels…
I’d add to his comment: so if Merkel or Hollande act or speak in defense of their own country’s interests, and not the UK’s, now they are launching an information war? Where have we heard that before??
I’m not sure if I didn’t know most of this information anyway, whether I would be able to follow this huge amount of information –
But from my standpoint it was good, especially about the new plans to overthrow the referendum…sad….
27 years after the fall of the Berlin Wall
by Thierry Meyssan
While the world Press is searching for ways to re-start the reconstruction of Europe, still without Russia and now without the United Kingdom, Thierry Meyssan considers that nothing can now prevent the collapse of the system. However, he points out, what is at stake is not the European Union itself, but the institutions which enable the domination of the world by the United States, and the integrity of the United States themselves.
Voltaire Network | Damascus (Syria) | 28 June 2016
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Favourable to the Brexit, Queen Elizabeth is now able to reorient her country towards the yuan.
No-one seems to comprehend the consequences of the British decision to leave the European Union. Those commentators who interpret party politics, and who forfeited their understanding of international challenges a long time ago, have been concentrating on the elements of an absurd campaign – on one side, the adversaries of uncontrolled immigration, and on the other, the «bogeymen» who have been threatening the United Kingdom with the direst of torments.
But the stakes of this decision have nothing to do with these themes. The discrepancy between reality and the discourse of the political media illustrates the disease from which the Western elite is really suffering – their incompetence.
While the veil is being ripped apart before our eyes, our elites do not understand the situation any better than the Communist Party of Soviet Russia could see the consequences of the fall of the Berlin Wall in November 1989 – the dissolution of the USSR in December 1991, then the Council for Mutual Economic Assistance (Comecon) and the Warsaw Pact six months later, followed by the attempts to dismantle Russia itself, in which it almost lost Chechnya.
In identical fashion, we will soon be witnessing the dissolution of the European Union, then NATO, and unless they pay close attention, the dismantling of the United States.
What interests are behind the Brexit?
Contrary to the boastful claims of Nigel Farage, UKIP was not the originator of the referendum it has just won. The decision was imposed on David Cameron by the members of the Conservative Party.
For them, London’s policy must be a pragmatic adaptation to the evolution of the world. This «nation of shop-keepers», as Napoleon qualified it, observes that the United States are no longer either the world’s prime economy or its major military power. There is therefore no further reason to hang on as their privileged partner.
Just as Margaret Thatcher never hesitated to destroy British industry in order to transform her country into an international financial centre, in the same way the Conservatives did not hesitate to open the door for the independence of Scotland and Northern Ireland – and thus the loss of North Sea oil – in order to transform the City into the primary off shore financial centre for the yuan.
The Brexit campaign was largely supported by the Gentry and Buckingham Palace, who mobilised the popular Press to call for a return to independence.
Contrary to the interpretations published in the European Press, the departure of the British from the EU will not happen slowly, because the EU will collapse faster than the time necessary for the bureaucratic negotiations concerning their withdrawal. The Comecon states did not have to negociate their exit, because the Comecon had ceased to function as soon as the centrifugal movement began. The member states of the EU who hang on, desperately trying to save whatever remains of the Union, will fail in their adaptation to this new distribution, and run the risk of experiencing the painful convulsions of the first few years of the new Russia – a vertiginous drop in the standard of living and life expectancy.
There is an urgent need to reform the institutions in order to save the hundred thousand civil servants, elected officials and European collaborators who will inevitably lose their jobs, and the national elites who are also tributary to the system. All of them wrongly believe that the Brexit has opened a breach into which the Euro-sceptics will plunge. But the Brexit is only a response to the decline of the United States.
The Pentagon, which is currently preparing the NATO summit in Warsaw, has not yet understood that it is no longer in a position to browbeat its allies into increasing their Defence budget and backing up their military adventures. Washington’s domination of the world is over.
We are moving into a new era.
What is going to change?
The fall of the Soviet bloc was first of all the death of a certain vision of the world. The Soviets and their allies wanted to build a united society in which as many things as possible were to be considered common property. They succeeded in creating a Titanic bureaucracy and a grim bouquet of comatose leaders.
The Berlin Wall was not destroyed by anti-communists, but by a coalition of the Communist Youth and the Lutheran Churches. Their intention was to refound the Communist ideal, but liberated from the Soviet yoke, the political police and the bureaucracy. They were betrayed by their elites, who, after having long served the interests of the Soviets, did an eager about-face and rushed to serve the interests of the United States. The most passionate of Brexit voters are attempting to regain their national sovereignty, and make the leaders of Western Europe pay for the arrogance they showed in imposing the Treaty of Lisbon after the popular rejection of the European Constitution (2004-07). They too may be disappointed by what comes next.
The Brexit marks the end of the ideological domination of the United States, that of the dime-store democracy celebrated as the «Four Freedoms». In his address on the State of the Union in 1941, President Roosevelt defined them as (1) Freedom of Speech and expression, (2) the Freedom of all people to honour their God in the way they choose, (3) Freedom from need, (4) Freedom from Fear [of foreign aggression]. If the English are going to return to their traditions, continental Europeans are going to revisit the questions posed by the French and Russian revolutions concerning the legitimacy of power, and shake up their institutions at the risk of sparking a new Franco-German conflict.
The Brexit also marks the end of the military-economic domination of the US, since NATO and the EU are simply the two sides of a single coin – even if the construction of their Foreign Policy and Common Security took longer to implement than that of free exchange. Recently, I was writing a note on this policy in terms of the situation in Syria. I examined all the internal documents of the EU, both public and unpublished, and arrived at the conclusion that they had been written without any knowledge of the reality on the ground, but from notes taken by the German Minister for Foreign Affairs, who was himself reproducing the instructions of the US State Department. A few years earlier, I had to do the same job for another state, and had arrived at a similar conclusion (except that in this other case, the intermediary was not the German, but the French government).
First consequences within the EU
Currently, the French trade unions are rejecting the project for a law on Labour which has been drawn up by the Valls government on the basis of a report by the European Union, which itself was inspired by instructions from the US State Department. While the mobilisation of the CGT (General Confederation of Labour) has enabled the French people to discover the role of the EU in this affair, they still have not grasped the EU-USA connection. They have understood that by inverting the standards and placing company agreements above branch agreements, the government was in fact questioning the preeminence of the Law over the contract – but they do not know about the strategy of Joseph Korbel and his two children, his natural daughter, the Democrat Madeleine Albright, and his adopted daughter, the Republican Condoleezza Rice. Professor Korbel assured that in order to dominate the world, all Washington needed to do was impose a re-writing of international relations in Anglo-Saxon legal terms. Indeed, by placing the contract above the Law, Anglo-Saxon legalese privileges, in the long term, the rich and powerful over the poor and needy.
It is probable that the French, the Dutch, the Danes and others will try to detach themselves from the EU. For that, they will have to confront their ruling class. Though the duration of this combat is unforseeable, its issue leaves no doubt. In any case, in the period of upheaval which is coming, the French workers will be difficult to handle, unlike their English counterparts, who are currently disorganised.
First consequences for the United Kingdom
Prime Minister David Cameron played the summer holiday card in order to postpone his resignation until October. His successor, probably Boris Johnson, therefore has the time to prepare the change which can be implemented as soon as he arrives at Downing Street. The United Kingdom will not wait for its definitive exit from the EU to develop its own policy – to begin with, dissociating itself from the sanctions levied against Russia and Syria.
Contrary to what the European Press claims, the City of London is not directly concerned by the Brexit. Because of its particular status as an independent state placed under the authority of the Crown, it has never been part of the European Union. Of course, it will no longer be able to shelter the head offices of certain companies which will retreat back into the Union, but on the contrary, it will be able to use the sovereignty of London to develop the yuan market. Already in April, it obtained the necessary privileges by signing an agreement with the Central Bank of China. Besides which, it may develop its activities as a fiscal paradise for Europeans.
While the Brexit will temporarily disorganise the British economy while it waits for a new set of rules, it is probable that the United Kingdom – or at least England – will reorganise rapidly for its own greater profit. We’ll have to wait and see if the creators of this earthquake will have the wisdom to share its rewards with their people. The Brexit is a return to national sovereignty, but it does not guarantee popular sovereignty.
The international landscape may evolve in many different ways according to the coming reactions. But even if things turn out badly for some people, it’s always better to adhere to reality, as the British have done, rather than clinging to a dream until it shatters.
==============
A strong Europe in a world of uncertainties
The decision of the British people marks a watershed moment in the history of Europe. The European Union is losing not only a member state, but a host of history, tradition and experience, with which we shared our journey throughout the past decades. France and Germany therefore take note of this decision with regret. This creates a new situation and will entail consequences both for the United Kingdom and for the EU. The Treaty of Lisbon sets out the procedures for the orderly departure of a Member State (article 50). Once the British Government has activated these procedures, we will stand ready to assist the institutions in the negotiations clarifying the future relationship between the EU and the UK.
The British case is unique. But we must also acknowledge that support and passion for our common project has faded over the last decade in parts of our societies. Nei-ther a simple call for more Europe nor a phase of mere reflection can be an adequate answer. To prevent the silent creeping erosion of our European project we have to be more focused on essentials and on meeting the concrete expectations of our citizens. We are convinced that it is not the existence of the Union that they object to but the way it functions. Our task is twofold: we have to strictly focus our joints efforts on those challenges that can only be addressed by common European answers, while leaving others to national or regional decision making and variation. And we must deliver better on those issues we have chosen to focus on.
France and Germany remain most firmly of the belief that the European Union provides a unique and indispensable framework for the pursuit of freedom, prosperity and security in Europe, for shaping peaceful and mutually beneficial relationships amongst its people and for contributing to peace and stability in the world. Our two countries share a common destiny and a common set of values that provide the foundation for an ever closer union between our peoples. We will therefore move further towards political union in Europe and invite the other Europeans to join us in this endeavour.
France and Germany recognise their responsibility to reinforce solidarity and cohesion within the European Union. To that end, we need to recognise that member states differ in their levels of ambition member state when it comes to the project of European integration. While not stepping back from what we have achieved, we have to find better ways of dealing with different levels of ambition so as to ensure that Europe delivers better on the expectations of all European citizens.
We believe the EU can and needs to develop common answers to today’s challenges abroad and at home. In a context of rising global challenges and opportunities, we see the European Union as more necessary than ever and as the only framework capable of providing appropriate collective answers to the changing international environment. France and Germany will therefore promote a more coherent and a more assertive Europe on the world stage. To deliver better, Europe must focus on today’s main challenges – ensure the security of our citizens confronted with growing external and internal threats; establish a stable cooperative framework for dealing with migration and refugee flows; boost the European economy by promoting convergence and sustainable and job-creating growth and advancing towards the completion of the Economic and Monetary Union.
We are seeing the European Union being severely put to the test. It is challenged by a series of crises in its southern and eastern environment. It is recovering slowly on the path of economic growth. Looking back at the history of the European edifice, we strongly believe in the strength of the EU and its ability to overcome these situations. But something is new in these critical times, namely the perception that these crises jeopardise the very fabric of our societies, our values, our way of life. We see terrorists attempting to spread fear and division in our societies. We have to face increasingly interwoven internal and external challenges. We see the need to preserve the combination of growth, competitiveness and social cohesion which lies at the heart of our European model, while preserving our common values both internally and vis-à-vis the outside world.
We know there are no quick solutions to these very demanding problems. But we are determined to address them, working to deal with current challenges while remaining focused on important long-term issues. In this spirit, we have agreed on the following proposals.
A European Security Compact
The EU has to face a deteriorating security environment and an unprecedented level of threat. External crises have become more numerous, closer to Europe – both east and south of its borders – and more likely to have immediate consequences for European territory and the security of EU citizens. Power politics are back on the world stage and conflict is being imported into our continent. The terrorist threat is growing, feeding on complex networks in and outside Europe and stemming from crisis zones and unstable, war-torn regions all over the world. Europe’s role as a credible force for peace is more important than ever.
The security of EU member states is deeply interconnected, as these threats now affect the continent as a whole: any threat to one member state is also a threat to others. We therefore regard our security as one and indivisible. We consider the European Union and the European security order to be part of our core interests and will safeguard them in any circumstances.
In this context, France and Germany recommit to a shared vision of Europe as a security union, based on solidarity and mutual assistance between member states in support of common security and defence policy. Providing security for Europe as well as contributing to peace and stability globally is at the heart of the European project.
We see the EU as a key power in its neighbourhood but also as an actor for peace and stability with global reach. An actor able to make a decisive contribution to tackling global challenges and to support a rules-based international order underpinned by strategic stability, based on a peaceful balance of interests. We have considerable achievements that deserve recognition and can provide inspiration. The historic agreement on Iran’s nuclear programme was only possible because of the EU’s de-termined and persistent commitment. European engagement in the Minsk process has helped to contain a military confrontation in eastern Ukraine that could have easily spiralled out of control. Our diplomatic efforts have paved the way for a political settlement to the conflict which we will continue to pursue. In Libya, we support the emerging government of national accord endeavouring to address the risks posed by state fragility and instability in the Southern Mediterranean. Beyond the crises, we are convinced that Africa needs also a continuous commitment, being a continent of great challenges and opportunities.
One of the main features of today’s security environment is the interdependence between internal and external security, since the most dangerous and destabilising risks emanate from the interaction between external threats and internal weaknesses. To respond to this challenge, Germany and France propose a European Security Compact which encompasses all aspects of security and defence dealt with at the European level and thus delivers on the EU’s promise to strengthen security for its citizens.
A first step is to share a common analysis of our strategic environment and common understanding of our interests. France and Germany propose that the EU conduct regular reviews of its strategic environment, to be submitted and discussed at the Foreign Affairs Council and at the European Council. These reviews will be supported by an independent situation assessment capability, based on the EU intelligence and situation centre and expertise from outside European institutions, with production of strategic and intelligence analysis approved at European level.
– On the basis of this common understanding, the European Union should establish agreed strategic priorities for its foreign and security policy, in accordance with European interests.
– The European Union Global Strategy is a first step in that direction. But we need to push further: on a more contested and competitive international scene, France and Germany will promote the EU as an independent and global actor able to leverage its unique array of expertise and tools, civilian and military, in order to defend and promote the interests of its citizens. France and Germany will promote integrated EU foreign and security policy bringing together all EU policy instruments.
– The EU will need to take action more often in order to manage crises that directly affect its own security. We therefore need stronger and more flexible crisis prevention and crisis management capabilities. The EU should be able to plan and conduct civil and military operations more effectively, with the support of a permanent civil-military chain of command. The EU should be able to rely on employable high-readiness forces and provide common financing for its operations. Within the framework of the EU, member states willing to establish permanent structured cooperation in the field of defence or to push ahead to launch operations should be able to do so in a flexible manner. If needed, EU member states should consider establishing standing maritime forces or acquiring EU-owned capabilities in other key areas.
– In order to live up to the growing security challenges, Europeans need to step up their defence efforts. European member states should reaffirm and abide by the commitments made collectively on defence budgets and the portion of spending dedicated to the procurement of equipment and to research and technology (R&T). Within the EU, France and Germany propose the establishment of a European semester on defence capabilities. Through this process, the EU will support efforts by member states by ensuring the coherence of defence and capability-building processes and encourage member states to discuss the priorities of their respective military spending plans. The establishment of a European defence research programme will support an innovative European industry.
– The European Union must invest more in preventing conflict, in promoting human security and in stabilising its neighbourhood and regions affected by crisis all over the world. The EU should help its partners and neighbours develop their capacity and governance structures, to strengthen their crisis resilience and their ability to prevent and control emerging crisis as well as terrorist threats. France and Germany will conduct joint initiatives in stabilisation, development and reconstruction in Syria and Iraq when the situation allows. Together, France and Germany will strengthen their civilian crisis management tools and reaffirm their commitment to support and sustain political processes of conflict resolution.
– In order to ensure our internal security, the immediate challenges are primarily operational. The objectives are to implement and monitor EU decisions and make the best use of existing frameworks: PNR; Europol and its counterterrorism centre; the fight against terrorist financing; and EU action plans against trafficking of weapons and explosives. A special emphasis should be put on strengthening transport safety. We want also to increase our dialogue and cooperation with third countries in North Africa, the Sahel strip, the Lake Chad Basin, West Africa, the horn of Africa and the Middle East, as well as regional and sub-regional or-ganisations (African Union, G5).
– In order to address the root causes of terrorism, France and Germany will develop a European platform to share experience and best practice in preventing and counteracting radicalisation.
– In the medium term, we should work towards a more integrated approach for EU internal security, based on the following measures: creation of a European platform for intelligence cooperation, fully respecting national prerogatives and using the current frameworks (e.g. CTG); improvement of data exchange; European contingency planning for major crisis scenarios affecting several member states; creation of a European response capability; establishment of a European civil protection corps.
– In the longer term, it would make sense to enlarge the scope of the European public prosecutor’s office in future (currently limited to prosecuting offenses con-cerning the EU’s financial interests) to include fighting terrorism and organised crime. This would require harmonisation of criminal law among the member states.
In order to drive this effort, France and Germany propose that the European Council should meet once a year as a European Security Council, in order to address internal and external security and defence issues facing the EU. This European Security Council should be prepared by a meeting of Foreign Affairs, Defence and Interior Ministers.
Common European asylum and migration policy
Large-scale migration towards Europe will be the key challenge for Europe’s future.
There shall be no unilateral national answers to the migration challenge, which is a truly European challenge of the 21th century. Our citizens expect that we firmly regain control on our external borders while preserving our European values. We have to act jointly to live up to this expectation. Germany and France are convinced that it is high time to work towards establishing truly integrated European asylum, refugee and migration policy. Given the urgency of the matter, we should not rule out the possibility of a group of member states that share a sense of common responsibility making progress on common policies.
– Securing our external border is no longer exclusively a national task but also a common responsibility. We are determined that the EU should establish the world’s first multinational border and coast guard. In the short term, FRONTEX will be manned by mean of secondments from member states. France and Germany should propose a joint contribution to that end. Over the medium term FRONTEX should be scaled up not only in terms of having its own permanent staff but also with adequate technical equipment to fulfil this task.
– We also propose the creation of a European ESTA for visa-exempt third country nationals as a useful instrument to reinforce our borders and security.
– It is our common duty to protect those fleeing from war or political persecution. In our efforts we strive to allow refugees to find shelter as close to their homeland as possible.
– Asylum seekers reaching Europe have a right to be treated according to the Ge-neva Convention no matter where they reach our shores. To this end we must further harmonise and simplify our standards and procedures in specific areas. We shall stand ready to grant EU support for the establishment of efficient asylum systems where needed. Over the medium term the European Asylum Office should be transformed into a European Asylum Agency to support this process of standardisation and host joint databases to prevent the misuse of differences in standards as well as multiple registrations and discourage secondary movements. This European Asylum Agency would help reinforce convergence in the way applications for international protection are assessed, with due regard to the Dublin basic principles such as the responsibility of the member state of first en-try to deal with an asylum application.
– Solidarity remains a cornerstone of our European project. Citizens expect that the benefits and burdens of EU membership be evenly shared among member states. A situation in which the burden of migration is unevenly carried by a limited number of member states is unsustainable. As a first step, the Dublin system has to be improved to deal with exceptional circumstances by means of a permanent and binding mechanism which foresees burden sharing among all member states. If necessary, Germany and France stand ready to proceed on this matter with a group of like-minded partners.
– The EU must find a common answer to the rising number of migrants seeking to enter the EU for economic reasons. The asylum system is a misleading entry point for them to use. Europe should stay open to what migration and mobility can contribute to our societies in the fields of the economy, culture and diversity. We need to work towards a European Immigration Act that clearly states what the legal options are when it comes to working in Europe, taking into account the different states of national labour markets in the EU. At the same time, we have to improve EU tools and support in the field of return policy, underpinned by EU funds to finance the deportation of those who entered the EU illegally.
– In our relations with key countries of origin and transit, we will work to reduce push factors for irregular migration, for example by generating economic and social opportunities, particularly for young people. We expect constructive cooperation in crucial fields such as return and readmission, border management and control and the fight against migrant smuggling. Germany and France have already held high-level migration dialogues with a number of African states on behalf of the EU and will extend this dialogue to other countries. Root causes of migration, such as poverty, lack of security and political instability should also be addressed by the EU.
Finally, hosting and, in some cases, integrating refugees and migrants poses a challenge to all European societies that must be dealt with in a spirit of responsibility and solidarity. Germany and France do not share the same historical experience of immigration and integration but are committed to learning from each other. Through dialogue, exchange and cooperation, we intend to foster a more objective debate about the challenges and opportunities of immigration and integration for our societies. We hope thus to use the lessons we have learned to benefit other European states that are confronted with similar challenges.
Fostering growth and completing the Economic and Monetary Union
To this day, our common currency constitutes the most visible and ambitious under-taking of European unification. The euro has helped protect its member states from international speculation and contributed to building a common economic area. The euro reflects our commitment to the irreversibility of European integration.
However, we must admit that the crisis and its aftermath have shown up deficiencies that make citizens question whether the common currency delivers on its promises and even casts doubt on the sustainability of the project itself. We therefore intend to proceed on three fronts simultaneously: strengthening economic convergence, enhancing social justice and democratic accountability and improving shock resistance to safeguard the irreversibility of the euro. France and Germany have always seen it as their major responsibility to build a robust Eurozone able to assert its model in a more and more competitive world.
We believe we urgently need to revive this spirit to carry the debate forward. And it is the responsibility of our two countries to bilaterally proceed beyond that. We have to acknowledge that the requirements of membership and the fiscal implications stemming from the common currency have been higher than one could have expected when the euro was founded. We must therefore respect the wish of others to decide on their own when to join the euro.
– To overcome the crisis, the euro area has to enter into a renewed phase of economic convergence. To this end, France and Germany will shoulder the main responsibility of organising a process of economic convergence and political governance which balances obligations and solidarity to accompany the process. Surplus and deficit countries will have to move, as a one-sided alignment is politically unfeasible.
– Growth potential has been severely hampered by the crisis. Europe urgently needs to unlock the untapped potential inherent in the completion of the single market in specific sectors of strategic interest. France and Germany remain committed to bilateral initiatives to rapidly harmonise regulation and oversight as well as corporate tax schemes. To unlock growth and to increase the productivity of the European economy, a renewed effort for more investment, both private and public, is necessary. France and Germany reiterate their commitment to structural reforms to attract international investment and to further enhance the competiveness of their economies.
– In that respect, specific initiatives should be taken in order to foster growth and convergence between member states in strategic sectors such as energy, the digital sector, research and innovation or professional training. In the short term, common targets could be set, linked to regulatory objectives and investment means based on the amplification of the European Fund for Strategic Investment. Over the medium term, those strategic sectors should evolve towards a common regulatory framework and even a shared supervisory authority, and benefit from a structured European investment capability to foster convergence through cross-border investment. Bilateral initiatives by Germany and France should be undertaken within that framework.
– The current architecture of the euro is not sufficiently resilient to external shocks or internal imbalances. Leaving the EMU incomplete jeopardises the survival of our common currency in the long term. Completing the EMU will involve the con-tinuous intensification of political governance as well as fiscal burden sharing. In light of existing imbalances a deepening of the EMU will not come as a big bang but as the result of a pragmatic and gradual evolution taking into account the necessary results in terms of growth and employment. These results are indis-pensable to reinforce confidence in the European Union among member states and citizens and create the appropriate political conditions for new steps of inte-gration towards completing the EMU.
– We should acknowledge that EMU member states share different traditions of economic policy making, which have to be balanced out for the euro to function properly. A future architecture of the euro will neither be solely rules based nor prone to mere political decision making nor will it be steered exclusively by market forces. Every step in deepening the EMU will encompass all of these aspects.
– Since economic policy-making in the EMU is increasingly a domain of shared decisions, citizens rightly expect to regain control via supranational institutions accountable to them. In the short term a full time president of the Eurogroup should be accountable to a Eurozone subcommittee in the European Parliament. In the longer term, the Eurogroup and its president should be accountable to a parliamentary body comprising members of the European Parliament with the participation of members of national parliaments. This chamber should have full authority on any matters regarding fiscal and macroeconomic oversight.
– In this context we should develop the European Stability Mechanism (ESM) into a fully-fledged European Monetary Fund subject to parliamentary control.
– A fiscal capacity – a common feature of any successful monetary union around the globe – remains a missing keystone in the EMU architecture. In the long run it should provide macroeconomic stabilisation at the eurozone level while avoiding permanent unidirectional transfers. Whereas these capabilities should be built up over time and in line with progress on common decision making regarding fiscal and economic policy, it should start by 2018 at the latest to support investment in the member states most severely hit by the crisis. Germany and France should form a group prepared to lead on this matter.
– Public support for the euro is undermined by a lack of progress on its social dimension and fair taxation among its member states. Hence, as a general principle, any step to further deepen the EMU should be accompanied by progress in the field of common taxation, in particular with regard to transnational corporations, as well as the development of a social union underpinned by common social minimum standards.
Jean-Marc Ayrault
Frank-Walter Steinmeier
http://www.voltairenet.org/IMG/pdf/DokumentUE-2.pdf
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Urgent: A New Europe. Ayrault and Steinmeier prepare the way
http://www.voltairenet.org/article192573.html
Kerry and Stoltenberg get ready for the European Council
http://www.voltairenet.org/article192610.html
Conclusions of the European Council meeting (28 June 2016)
http://www.voltairenet.org/article192650.html
> The Berlin Wall was not destroyed by anti-communists, but by a coalition of the Communist Youth > and the Lutheran Churches.
I stopped reading at that point.
Lutheran Churches yes, but not coalition of the Communist Youth.
QE2 mobilise national press??? And orientate uk towards yuan???
Do not think so mr Thierry……any influence, only as symbolic figurehead for people to still believe in uk sovereignty, which could still be possble to reclaim.
Uk foreign policy to drop sanctions against Rus and Iran??
Do not thimk so, uk will follow behind usa, and it is until these “”onnections” are strangled by events such as Kerry saying to uk how brexit can be undone, that uk will become more sovereign and rapdily in its panic try to reclaim some kind of position of real value not symbolic independance that we only have so far..?????……real battles are still to come, political Reformation, re motivation of society for innovation, enterprise,reputable work standards and work quality in all its “output” which includes education, training, participation and inclusivity of all citizens. I feel a lot of uk is stuck in nostalgic past, retro lifestyles and thinking and behaviours, there is now a tremendous onus to fully revitalise uk it is incumbent on evetyone to do so, it really is up to us.
Great comment, JJ. As a Canadian, I am biased. Canada has enjoyed a relative abundance of political stability, largely due to its foundation from the British Empire. So I do believe the UK will be fine, and fully able to recreate these political achievements in the present time (minus the empire part!) Once the English, Scottish and Irish roll up their sleeves and really take on this challenge, I’m sure they will impress us once more with their results.
Ta…I think Words have been Spoken or communicated in some way to Boris today re his not standing for pm, I do personally regard him as some kind of “flimflam” personality, maybe Gove has been very strategic. I like the look and sound of Stephen Crabbe cf with anyone else. Listening to Cameron st pm question time actually his proposals as to how the negotiations were going to happen actually sounded very sensible and common sensible.Economic indicators seem to have largely returned to normal.Some eu suthorities seem genuinely willingly in constructive ways to asist uk with negotiations too.Soooo, we will see how it goes, which will be better recent years the media harping on about polltical infighting re in or out. Mark Carney the Canadian head of B of E semed very on the ball today as well…….although Max Keiser usually thinks otherwise………
Don’t worry about that, far bigger concerns of pressing concern, like the entire Eurozone bank system going t/u some weekend (likely followed within minutes by stateside).
Events such as this one posted today 30th are not the kind seen anywhere but at multi-sigma outliers, such as that Jun 23 BrExit vote which (supposedly) caused a 12-sigma move in the pound, a statistical rarity not supposed to be recorded in the age of the cosmos.
Monday= JULY 4, so the significance is the urgency of release says they couldn’t wait even till late Friday afternoon their time (weekend).
http://www.zerohedge.com/news/2016-06-30/european-commission-grants-italy-crisis-%E2%82%AC150bn-bank-bailout-program-prevent-run-depo
Italy Granted “Extraordinary ” €150BN Bank Bailout Program To Prevent “Panic, Run On Deposits”
And while Angela Merkel apparently shut down the original proposal pitched by Italy, Europe – surely under the guidance of Mario Draghi – has found a way to circumvent her veto power.
“As this decision and other precedents demonstrate there are a number of solutions that can be put in place in full compliance with EU rules to address market turbulence,” the spokeswoman said.
To be sure, Italy’s market has indeed been turbulent: Italian banks have lost more than half of their market capitalization since the beginning of the year, as investors fret about the lenders’ huge exposure to bad loans. That compares to an average decline of less than one third for European lenders. Some Italian banks have seen their shares drop by some 75%.
Italy chart Banca Monte bank:
http://www.bloomberg.com/quote/BMPS:IM
Unicorn Bank—$40 in mid-2007:
https://uk.finance.yahoo.com/echarts?s=UCG.MI#symbol=ucg.mi;range=5y;compare=;indicator=volume;charttype=area;crosshair=on;ohlcvalues=0;logscale=off;source=;
Addendum.
Why Italy now?
Well, apparently it’s all a carousel, with news events coming back round to repeat.
I vaguely recall this now, but there’s been libraries of financial events since then.
At least they haven’t found an in to blame the Germans & Deutsche Bank….yet.
Here’s a 2011 chart & a 2011 article title on ZH tells all about why it IS Italy which is the far biggest threat by far to blow out the banking system. Debt & all is of course built up far higher & way worse since.
Some commenters saying this 150B Euros is mere pissant pocket change just a start to what’s coming.
http://www.zerohedge.com/sites/default/files/images/user5/imageroot/draghi/Italy%20CDS.jpg
Here’s Why Italy’s CDS Are The Biggest Risk For The Eurozone
http://www.zerohedge.com/article/heres-why-italys-cds-are-biggest-risk-eurozone