Tuesday, December 24

Europe, EU, Eurozone

Eurozone Ministers Agree to €500bn Rescue Package
10Apr By Patti MohrNo Comments
Europe, EU, Eurozone, Global Economics

Eurozone Ministers Agree to €500bn Rescue Package

April 10, 2020--Under increasing strain to hold their political and economic union together, Eurozone finance ministers agreed to a €500 billion economic rescue package for workers, businesses and governments. Eurogroup President Mário Centeno said the plan is meant to ensure Europe grows "together and not apart once the virus is behind us." The latest rescue package to deal with the economic fallout from the COVID-19 crisis comes on top of monetary and fiscal stimulus measures worth trillions of Euros. Previous measures amount to 3 percent of GDP in fiscal measures and 16 percent of GDP in new monetary policies, according to the Eurogroup. Finance ministers from the 19 Eurozone countries agreed to the latest measure after a marathon 14-hour session. "Now we are building Europe...
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EU Allows UK Extension on Brexit
28Oct By Patti MohrNo Comments
Europe, EU, Eurozone, Globalization, Global Disintegration, Types of News: Brief

EU Allows UK Extension on Brexit

October 28, 2019-The European Union agreed to allow the United Kingdom to extend its plan to leave the customs union as late as January 31, 2020. That means that despite British Prime Minister Boris Johnson's pledge to take the U.K. out of the EU "do-or-die" by October 31, it is not going to happen. Donald Tusk, president of the European Council, said on Twitter he plans to formalize the extension for Brexit in a written procedure. The costs of a no-deal Brexit would have meant economic disruptions, food and fuel shortages, price spikes and blockages in ports and roads. Johnson had negotiated a new withdrawal agreement with the EU, but he was unable to win the support of the British parliament for the plan. Johnson has called for national elections to be held December 12. "...
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France to Impose ‘GAFA’ Tax on Digital Giants
11Jul By Patti MohrNo Comments
Big Tech, Digital Economy, Europe, EU, Eurozone, Types of News: Brief

France to Impose ‘GAFA’ Tax on Digital Giants

July 11, 2019--The French Parliament enacted new legislation today to tax digital companies, including Google, Apple, Facebook and Amazon, earning over €750 million ($844 million) a year. The GAFA tax marks the first time a national government would be garnering income from high-tech's increasing use of data collection and targeted online advertising. Moreover, it might pave the way for international efforts to tax the digital, global economy. Revenue Raiser The tax, known as "GAFA" for the four highest-revenue tech companies, is expected to generate about €400 million in revenue for France this year and €650 million in 2020 ($450 million in 2019 and $730 in 2020). It applies to companies with total annual revenues of €750 million globally with €25 million of that earned in...
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5 Takeaways from Macron’s Letter to European Citizens
5Mar By Patti MohrNo Comments
Domestic Politics, Europe, EU, Eurozone, Types of News: Brief

5 Takeaways from Macron’s Letter to European Citizens

March 5, 2019--Facing an uncertain future in the wake of the United Kingdom's Brexit dilemma and the rise of nationalist politics in Europe, French President Emmanuel Macron published a letter to EU citizens that outlined a "roadmap for European renewal." The op-ed ran in newspapers throughout the 28-member European Union. It comes ahead of the May 23-26 European Parliament elections. Here are five takeaways: 1. Nationalism Must Be Addressed Nationalists -- or populist -- parties are on the rise in Europe, challenging the established order in both national governments and the European Union. One study featured in Parliament Magazine says support for populist political parties has tripled in the last two decades, reaching a significant threshold of 25 percent. Macron acknowledged that ris...
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Merkel Wins 4th Term as German Chancellor
14Mar By Patti MohrNo Comments
Democracy, Europe, EU, Eurozone, Types of News: Brief

Merkel Wins 4th Term as German Chancellor

March 14-After months of uncertainty over the leadership of Europe's largest economy, the German Bundestag voted 364-315 in favor of giving Angela Merkel a fourth term as chancellor. A coalition of her own Christian Democratic Union and the Social Democratic Party elected her today after a standoff among six parties won support in the general election in September. Since Merkel first won the position in 2005, she has wielded a great deal of influence over European Union policy. She advocated for open intra-European borders and migration from abroad, against criticism from far-right nationalists in Germany and Europe. During Merkel's last major policy speech in January, she called on Europe to take its own destiny within its hands in regards to the digital economy, defense and fore...
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Fate of Greece in Limbo After Voters Choose ‘No’ to Debt Deal
6Jul By Patti MohrNo Comments
Currency, Debt, National Budgets & Interest Rates, Democracy, Europe, EU, Eurozone, Types of News: Analysis

Fate of Greece in Limbo After Voters Choose ‘No’ to Debt Deal

A day after an unprecedented referendum in which Greek voters rejected an offer by creditors to continue their bailout of the country's finances in exchange for strict economic reforms, the fate of Greece and its proud people lie in deep uncertainty. With a vote of 61-to-29 percent, the Greeks resoundingly said "no" to their European partners' plans to continue financing Greek debt under the condition that Greece would pass more "austerity" measures such as cuts to pensions and spending programs and increases in the value-added tax. Now, though everyone seems to deny the possibility of a Greek expulsion from the 19-member common-currency Eurozone, the path to keeping Greece in the union isn't clear. Key European leaders are sending mixed signals. Eurogroup (group of finance min...
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Greece Puts Debt Bills Up For Democratic Vote
27Jun By Patti MohrNo Comments
Currency, Debt, National Budgets & Interest Rates, Democracy, Europe, EU, Eurozone, Foreign Aid, International Development, Global Economics, Types of News: Brief

Greece Puts Debt Bills Up For Democratic Vote

Greece is to hold a national referendum to decide whether the country will accept a deal offered by creditors over the country's debt obligations and tax, spending and pension policies. Caught between his government's promises to pay its debts and his own campaign promises to oppose fiscal reforms demanded by creditor institutions, Greek Prime Minister Alexis Tsipras announced today that he will let the people decide the fate of the country. "Our responsibility is for the future of our country. This responsibility obliges us to respond to the ultimatum through the sovereign will of the Greek people," Tsipras said. While it seems like a lot is riding on the national referendum, scheduled to take place Sunday, July 5, the vote might come too late. Greece owes a debt payment of €1.5...
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