Tuesday

21st Nov 2017

Euro-saving operations due within 'days,' says Juncker

  • "We have come to a crucial point. There is no more time to lose," Juncker said (Photo: consilium.europa.eu)

Eurogroup chief Jean-Claude Juncker has said there is "no time to lose," as the world talks about a eurozone breakup, with joint action by the European Central Bank and the eurozone bailout funds expected in the coming days.

"We have come to a crucial point. There is no more time to lose," Juncker said in an interview published both in Le Figaro and Sueddeutsche Zeitung on Monday (30 July).

Thank you for reading EUobserver!

Subscribe now for a 30 day free trial.

  1. €150 per year
  2. or €15 per month
  3. Cancel anytime

EUobserver is an independent, not-for-profit news organization that publishes daily news reports, analysis, and investigations from Brussels and the EU member states. We are an indispensable news source for anyone who wants to know what is going on in the EU.

We are mainly funded by advertising and subscription revenues. As advertising revenues are falling fast, we depend on subscription revenues to support our journalism.

For group, corporate or student subscriptions, please contact us. See also our full Terms of Use.

If you already have an account click here to login.

ECB chief Mario Draghi last week said the bank was ready to do "whatever it takes to preserve the euro" and hinted at more government bonds being bought up, a move which would help Italy and Spain bring down their record-high borrowing costs.

Juncker said the eurozone bailout fund, the European Financial Stability Facility (EFSF) - which has roughly €200 billion left to spend - will also contribute to the rescue operation.

Under current rules, the EFSF can buy bonds directly from the governments only for bailed out countries. It can buy bonds on the free market for other eurozone countries too, but they have to make a formal demand and sign a memorandum of understanding - also seen as a 'bailout lite'.

German subsidiary

Juncker also blamed Germany for treating the eurozone "as its subsidiary" and taking eurozone decisions according to internal political interests. "If all 17 governments would do this, what would be left of that was is common? Why is it like this?" he said.

He criticised German politicians - including German economy minister Phillipp Roesler - who in recent weeks have said a Greek exit from the eurozone would be better than keeping the country in.

"Those who think a Greek exit would solve the problem are wrong. They do not understand a thing about the deep origins of the crisis. Greece needs to improve its record, certainly. But nobody can ignore the staggering cost of an exclusion for the others. Anything else is low politics," Juncker said.

Meanwhile, over 71 percent of Germans want Greece to leave the euro if it did not live up to its austerity promises, a poll published Sunday by Bild newspaper shows.

Over 50 percent of Germans also think their country would be better off outside the euro. Only 29 percent said the German economy would hurt if it was to leave the common currency.

ECB chief indicates upcoming help for Spain

Markets rallied after European Central Bank chief Mario Draghi on Thursday pledged to do "whatever it takes" to salvage the euro and suggested the bank may buy more government bonds.

MEPs ponder how to fight tax havens

After the Paradise Papers brought new revelations about tax dodging across the globe, including in the EU, the European Parliament wonders how to step up the fight.

MEPs ponder how to fight tax havens

After the Paradise Papers brought new revelations about tax dodging across the globe, including in the EU, the European Parliament wonders how to step up the fight.

Stakeholders' Highlights

  1. ILGA EuropeFreedom of Movement For All Families? Same Sex Couple Ask EU Court for Recognition
  2. European Jewish CongressEJC to French President Macron: We Oppose All Contact With Far-Right & Far-Left
  3. EPSUWith EU Pillar of Social Rights in Place, Time Is Ticking for Commission to Deliver
  4. ILGA EuropeBan on LGBTI Events in Ankara Must Be Overturned
  5. Bio-Based IndustriesBio-Based Industries: European Growth is in Our Nature!
  6. Dialogue PlatformErdogan's Most Vulnerable Victims: Women and Children
  7. UNICEFEuropean Parliament Marks World Children's Day by Launching Dialogue With Children
  8. European Jewish CongressAntisemitism in Europe Today: Is It Still a Threat to Free and Open Society?
  9. Counter BalanceNew Report: Juncker Plan Backs Billions in Fossil Fuels and Carbon-Heavy Infrastructure
  10. Nordic Council of MinistersNordic countries prioritise fossil fuel subsidy reform
  11. Mission of China to the EUNew era for China brings new opportunities to all
  12. ACCASmall and Medium Sized Practices Must 'Offer the Whole Package'

Latest News

  1. 1.3 million European citizens in call for glyphosate ban
  2. EU 'cannot afford' lengthy German deadlock
  3. David Miliband: EU should take over 500,000 refugees
  4. EU bans 'geo-blocking' - but not (yet) for audiovisual
  5. EU monitoring of Libyan coastguard done by Libyans
  6. Greek opposition leader promises end to 'surreal' era
  7. Refugee case could topple Slovenia government
  8. Leak: EU states weaken post-Dieselgate testing