How to Stop the Italians and the Dutch From Fighting
A compromise is possible — involving very limited conditions on rescue loans and no euro bonds, but a commitment to some form of mutualized debt.
Wopke Hoekstra says no.
Photographer: BART MAAT/AFPIf there’s a constant theme in euro zone crises, it’s that meetings of finance ministers tend to underwhelm. This week’s gathering of the so-called Eurogroup to coordinate a response to the Covid-19 emergency was no exception.
After a 16-hour videoconference, the ministers failed to agree on a joint strategy and adjourned the meeting until tomorrow. Luckily, the European Central Bank is doing a sterling job in providing a safety net to governments as they face an unprecedented economic contraction. However, the image of a monetary union divided at a tragic time for all of its citizens is dreadful politically.