Open Europe : Cut through the chatter

[Politics.be]

Tsipras expected to request additional help at EU summit as Greek funding problems deepenSpeaking in the Greek parliament yesterday, Greek Prime Minister Alexis Tsipras struck a defiant tone and insisted that his party will not “go back on what [it has] promised” – adding that it is the rest of the Eurozone which must stop taking “unilateral actions” and stick to the extension agreement.Tsipras will meet German Chancellor Angela Merkel, European Commission President Jean-Claude Juncker, ECB President Mario Draghi, French President Francois Hollande and European Council President Donald Tusk on the sidelines of today’s EU summit to discuss Greece’s situation. Tsipras is expected to request an early release of at least part of the next €7.2bn tranche of bailout funds or a minimum €3bn increase in the amount of short-term debt that Greece is allowed to issue. Merkel has played down the chance of any solution at the summit, or at her meeting with Tsipras in Berlin on Monday. Belgian Prime Minister Charles Michel has complained about the closed meeting, arguing that “many countries are potentially affected by the situation in Greece. It’s a European matter.” He told Le Soir that he would raise the issue during the EU summit.Tensions between the two sides remain high after the Greek parliament approved the ‘humanitarian bill’ despite the protestations of EU/IMF/ECB officials. Officials on the ground continue to complain about a lack of cooperation from the Greek side. European Parliament President Martin Schulz this morning told Deutschlandfunk radio that the financial situation in Greece “is dangerous,” and that “time is running out…In the short term, [Greece] needs €2-3bn to maintain its current obligations.”Meanwhile, the Greek government has asked major public corporations, including utilities, to invest their excess cash reserves in state debt to help alleviate the serious funding crunch facing the government. The proposals have so far been rejected by those involved, including the trade unions. Kathimerini reports that the uncertainty has once again increased the rate of deposit withdrawals from banks, with officials suggesting up to €400m was withdrawn yesterday – the highest level since the extension was agreed in February.A new Marc poll for Alpha TV shows that the approval rating of the Greek government remains high, but has fallen to 59.8% from 83.1% in February – shortly after it entered office. The poll also shows that 61.2% of Greeks would vote to keep the euro in a referendum, even if that means sticking to the conditions of the EU/IMF bailout loan. 32.5% of respondents would vote to return to the drachma.Source: Kathimerini Kathimerini 2 Kathimerini 3 Manager Magazin Alpha TV Le Soir

Dutch governing parties and anti-EU PVV all suffer losses in local elections
Dutch ruling coalition parties, Prime Minister Mark Rutte’s centre-right VVD and the centre-left PvdA, suffered losses in yesterday’s provincial elections – whose outcome partly determines the composition of the Senate, the upper chamber of the Dutch parliament. The Christian Democrat CDA party, the socially liberal D66 party and the eurosceptic Socialist Party all made gains, while Geert Wilders’s anti-EU PVV was among the losers, as it struggled to convince its voters to turn out – despite leading in nationwide opinion polls.

As a result of the losses, the VVD and the PvdA will now need to find one more opposition party to support them in the Senate in order to pass the budget and their planned social security reforms. A leader in Dutch daily De Telegraaf warns that “the Netherlands threatens to become ungovernable.”

Source: De Telegraaf NOS TV Reuters Bloomberg Volkskrant
German court issues nationwide ban against Uber
A German regional court in Frankfurt yesterday imposed a nationwide ban on the online taxi firm Uber, preventing it from running services using unlicensed cab drivers. The court also set a €250,000 fine for any violations of local transport laws.

Source: Frankfurter Allgemeine Zeitung
EU struggles to find common position on Russian sanctions
At today’s EU summit, European Council President Donald Tusk will propose that EU sanctions on Russia can only be eased in the event of the full implementation of the Minsk Agreement, including the return of control over Ukraine’s eastern border to the government. The Financial Times reports that proposals to give the European Commission oversight over member states’ negotiations with Gazprom over gas supplies as part of the EU’s Energy Union plans is facing stiff opposition including from Hungary, the Czech Republic and Slovakia.

Meanwhile, the BBC reports that Russian President Vladimir Putin has acknowledged that EU sanctions are “not fatal, but naturally damage our ongoing work” as the car manufacturer Opel announced that it will completely pull out of Russia due to the economic situation. Separately, Russia has also signed an ‘alliance and integration’ treaty with the South Ossetia which brings the breakaway Georgian region’s military and economy into line with Russia.

Source: The Financial Times BBC The Wall Street Journal
Tensions in Renzi’s coalition as minister resists pressure to resign amid kickbacks scandal
Italian Transport Minister Maurizio Lupi – a member of Italian Prime Minister Matteo Renzi’s coalition partner NCD – is resisting pressure to resign over a corruption probe into public works contracts supervised by his ministry. Lupi himself is not under investigation, but it has emerged that a businessman allegedly involved in the rigging of tenders had helped secure a job for the minister’s son – to whom he also bought a €10,000 watch as a graduation present. The episode is seen as creating embarrassment for Renzi, who will meet Lupi today.

Source: La Stampa Reuters AFP
European Commission to bring forward proposal for Common Consolidated Corporate Tax Base
The Irish Times reports that the European Commission will bring forward proposals for an EU Common Consolidated Corporate Tax Base as early as June.

Source: Irish Times
Blockupy protests “unfair”, says Draghi
At least 200 people were injured yesterday as thousands of anti-capitalist and anti-austerity protesters clashed with the police at the opening of the ECB’s €1.3bn new building in Frankfurt. ECB President Mario Draghi said it was “unfair” that the ECB was being targeted for Europe’s economic woes. Open Europe’s Nina Schick appeared on Monocle 24 discussing the political parties, including SYRIZA, Podemos and Die Linke, whose representatives were involved in the protests.

Source: The Financial Times Monocle 24
The launch of a new Open Europe report: What if Britain left the EU?

Open Europe invites you to attend an event on Tuesday March 24th, marking the launch of our seminal report assessing the impact of Britain leaving the EU. Opening remarks will be made by Lord Wolfson of Aspley Guise, CEO, Next Plc and Open Europe Advisory Board Member.

The report addresses: how the UK’s key economic sectors would be affected by withdrawal; where EU partners would have an incentive to strike a trade deal; what decisions the UK itself would have to make to prosper outside the EU; and the economic impact of leaving under different scenarios, including new figures on how the UK economy would be affected by Brexit.

RSVP to attend here or email [email protected].

Bron: politics.be