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France and your money

By May 9, 2017 No Comments

I have been getting a lot of questions about the recent French elections and how it might affect the Euro and the European Union. Germany is the largest economy and largest debt holder in Europe. What matters  is how they see the election.

Germany will do what it can to help French President-elect Emmanuel Macron strengthen the European Union. That’s according to it’s  monetary union, Finance Minister Wolfgang Schaeuble as of  Tuesday.

But Schaeuble also cautioned that some of Macron’s proposals would require changes to the EU treaties that he did not consider realistic at the moment.

“We will do all we can to support Macron on the path to strengthen Europe and the European monetary union,” Schaeuble told a meeting of his conservative Christian Democratic Union (CDU).

But he added: “Everyone who knows Europe recognises that it’s pretty unrealistic to think about treaty changes in Europe at the moment … The French aren’t keen for that either.”

Germany had no fundamental political issues with Macron,but he said many of the measures that Macron had proposed would need to be decided in France, Schaeuble said.

He said he was convinced Macron believed in a strong Europe, noting that it would take increased investments and competitiveness to help strengthen the union.

Schaeuble also said he expected a change in the current ultra-loose monetary policy of the European Central Bank.