European Union: collapse or reform

The EU as a monetary and economic union of Europe in its present state has become too imperfect a mechanism and it needs to be reformed in view of the continuation of the integration of its members, the Financial Times cites todays’ statement of the Minister of Economy and Finance of Italy, Pier Carlo Padoan.

"The main point is that the Europeans who want to make progress in European integration should clearly recognize that the existing monetary union is defective, and it needs to be strengthened," Padoan said, noting that "a government supported by the majority in the near future’’ could appear in the eurozone. There are those, who disagree with the conditions imposed by the EU.

"Therefore, it may happen that any of the countries wanting to leave the eurozone, not because of the fact that it is like Greece in a desperate situation, but because it could be a good step in order to effectively solve its problems," the minister said. In this regard, he called on EU countries towards greater integration for the sake of victory over the consequences of the Greek crisis. 

"If we want to remove this risk, then we need to have a stronger euro. A fiscal union is necessary and a fiscal policy in order to create a full economic and monetary union," he suggested, putting forward as an initiative the creation of a parliament of the eurozone countries in parallel to other EU institutions.