Italy joined the eurozone in 1999 under the leadership of Prime Minister Massimo D'Alema of the Democratic Left party. This fateful participation, which entailed the complete loss of independent monetary policy, is undoubtedly the main cause of the disappointing performance of the Italian...
European banks haven’t recovered as well as American banks from the financial crisis. Investors have sold off shares as banks face tighter margins and an ongoing slowdown. Bank stocks are taking a drubbing globally, but the picture is a bit more glum in Europe. The Stoxx Europe 600 Banks Index...
As tension rises in Europe amid a migrant crisis, terrorist threats and anti-austerity sentiment, will the EU disintegrate? For Europe, there were a few topics dominating headlines in 2015, notably the migrant crisis, Islamic State terrorist attacks and threats, and anti-austerity movements....
Greece’s future needs to be underpinned by a credible plan that focuses on private sector-led growth, argues former Prime Minister John Bruton. It is important to note that the recession in Greece has been much deeper than expected by those who agreed the original bailout package in 2010 — a...
Greece’s loan extension agreement will keep it in the eurozone for the time being, but there are no guarantees it can become a responsible member. The Greek government has agreed to a four-month extension of its existing bailout program. Widely seen as a move away from the brink of a eurozone...
Founder & Editor-in-Chief Atul Singh provides a roundup of the week’s events. The bigwigs at the European Central Bank (ECB) have decided to emulate the US Federal Reserve. The ECB will begin quantitative easing (QE) by buying both government and private bonds. In doing so, it might create...
Germany and the European Central Bank may not come to the rescue this time. An interesting month lies ahead for the euro area. On January 22, the European Central Bank (ECB) will meet and they will either announce a QE-style monetary policy action, as most expect by now, or they will disappoint...
The French are spending more money abroad than they are earning from abroad. I recently attended a conference that looked at France’s domestic economic situation, and the impact that has on the country’s global and European role. According to budgets published in October, France and Italy...
The EU’s system for keeping euro state budgets on track is as important as ever, especially when interest rates are low. Bond markets are notoriously fickle. They often seem to be driven by sentiment rather than deep analysis. The experience of 2006-08 shows they are not infallible. They are...
A battle between pessimism and optimism is being waged about whether Europe is stuck in a quagmire or marching back to growth. Euro area growth rates continue to be disappointing. Despite all the excitement that the launch of a new currency in 1999 brought to Europe, since 2007 we have witnessed...
