They finally got an agreement. Yesterday night, the Eurozone heads of State and government approved a new rescue plan for the single currency aimed at to put an end to this serious crisis the Euro has known for a while
An agreement they got when it is known nothing was really gained, a couple of hours ago because of the Angela Mekel’s intransigence, the FRG Chancellor. The trade-off mainly plans a partial reduction of the Greek debt (around 50%), a bank recapitalization from private and foreign funds and an increasing of the European Financial Stability Fund, from 440 to 1 000 billion Euros more.
The Eurozone heads of State and government seem to find a long-term solution. However, and in spite of a nice reaction from the markets just after the agreement, the political scientists and analysts are more reversed, very reversed. Indeed, we are far from the 21 July enthusiasm when the European leaders were particularly optimistic and confident in the implemented plan to rescue the single currency and Greece.
If the plan designed the last night deserves to exist, will it be really efficient and useful to the Eurozone? A zone clearly dominated by the Angela’s Germany who imposed her views and her demands vis-à-vis Greece and Italy especially. For these two States, the Euro rescue plan and their weak economies ones are going to be very bitter for their respective populations, Germany looking for some solid guaranties, it which was very reluctant to re-inject money to rescue the Euro. In other words, the plan will be quite hard to accept for lambda people, paying already a lot.
It is maybe the price of pay to save the Euro, but for how many times? It’s now the question put forward by Nicolas Quint who sees in the agreement an opportunity for all the extremes and all the Europhobic. And if the plan deserves to exist according to him, it has no ambition, Member-States having no ambition for themselves and no vision for Europe.
An opinion I share insofar as if the plan tackles the Greek debt, it is less severe towards banks, Member-States having missed the opportunity to nationalize them – preferring to use private and foreign funds – which would have had a different impact. Furthermore, populations might contribute once again via the ESEF financing – about 30 billion Euros – to guarantee the Greek debt, which is going to give to Kaczynski, Farage, Dedecker, Dupont-Aignan, Chevènement and Inc., new arguments, once again.
So, the weak enthusiasm of Wednesday is corresponding to the ambiance in which the deal was concluded. The Euro has a moment of grace – the longest possible, I hope – and all the speculators are going to renew their attacks to see if the European leaders are fond of the single currency and the European integration also. An European integration which seems to lack of sense for these leaders because she is so obvious.
But, the European integration is everything but obvious even more a half-century after the Schuman Declaration!