WhatsApp Logo Subscribe
For News Alert

News

EU seeks to leverage might to confront China, US challenge

By AFP

April 19, 2024 12:26 AM


Twitter Share Facebook Share WhatsApp Share

 

EU leaders gave fresh impetus on Thursday to a controversial project to integrate the bloc's financial markets in a bid to keep pace with China and the United States -- including in the global race to produce clean technology.

The single market has supported the rise of European giants in different industries, from aviation to chemicals to cars. But at more than 30 years old, the European Union agrees on the need for an update.

During a summit in Brussels, EU leaders were told that the time has come to scale up the single market to include the defence, energy, finance and telecoms sectors.

The argument goes that fragmentation in those sectors with divergent national rules hurts the EU's competitivity, at a time when global powers like China and the United States are pouring billions into state aid to prop up their key industries.

Although the EU has a single currency, the status quo means its start-ups cannot raise the jaw-dropping amounts their US rivals can, and Europeans currently find it more rewarding to send more than 300 billion euros of their savings out of the bloc, mainly into US markets, each year.

"That is money missing for the development of our companies and the European Union. And it is due to the fragmentation of our capital markets," European Commission chief Ursula von der Leyen told reporters after the end of the summit.

The idea of integrating the 27 EU member states' markets, however, divides the bloc, and led to several hours of intense discussions between the leaders.

"There was a very long debate because the starting positions are divergent," French President Emmanuel Macron told a press conference.

"The savings and investment union is the key to being able to mobilise private financing for our priorities. Today, we established a method, principles, a timetable. We will return to the subject from June," Macron added.

 


AFP


Most Read

  1. Two senior lawyers shot dead by Elite Force jawan in Attock court Two senior lawyers shot dead by Elite Force jawan in Attock court
  2. Sindh CM unveils ambitious Rs3.056 trillion budget for FY 2024-25 Sindh CM unveils ambitious Rs3.056 trillion budget for FY 2024-25
  3. Anushka Sharma revels on ice-cream outing with childhood friend in UK Anushka Sharma revels on ice-cream outing with childhood friend in UK
  4. PML-N MNA flees after coming face to face with Imran Khan PML-N MNA flees after coming face to face with Imran Khan
  5. LUMS secures third position at United Asians Debating Championship LUMS secures third position at United Asians Debating Championship
  6. Police arrest principal and MS Sahiwal hospital after children’s death in blaze Police arrest principal and MS Sahiwal hospital after children’s death in blaze

Opinion

  1. An Unmissable Opportunity: The Time for Modi and Islamabad leadership to Resume Bilateral Dialogue is Now!
    An Unmissable Opportunity: The Time for Modi and Islamabad leadership to Resume Bilateral Dialogue is Now!

    By Sudheendra Kulkarni

  2. Premier Shehbaz and Chinese model
    Premier Shehbaz and Chinese model

    By Naveed Aman Khan

  3. Modi's myth broken, yet in power
    Modi's myth broken, yet in power

    By Naveed Aman Khan

  4. Xi, Shehbaz and CPEC phase - 2
    Xi, Shehbaz and CPEC phase - 2

    By Naveed Aman Khan

  5. Pakistan's UNSC Triumph: A New Era
    Pakistan's UNSC Triumph: A New Era

    By Dr Asif Channer

  6. Shehbaz, Deng, Xi and transformation
    Shehbaz, Deng, Xi and transformation

    By Naveed Aman Khan