‘Eurozone should have parliament, budget’
WARSAW: The eurozone should have its own parliament and budget to cap inequalities between its richer and poorer members that could tear the bloc apart, said the European Unions economy commissioner yesterday.
“It’s necessary to create a eurozone budget. And this will not be possible without creating a parliament for the currency union, in order to make spending subject to democratic control,” said Pierre Moscovici.
Deeper integration of the eurozone is “absolutely necessary in order to contain the divergence of the economies that make up the currency union,” he said of the 19-country bloc.
“If we continue to have a north that is well off and a south that is in difficulty, at some point this will result in the rejection of the European project,” Moscovici added.
Eurozone member Greece, with its mountain of debt towering at 180 per cent of annual output, was nearly forced out of the common currency before agreeing to austerity measures in exchange for bailouts.
Moscovici told Rzeczpospolita that a eurozone “parliament and budget would also require an executive power: a eurozone finance minister”.
The European Commission intends to “present an analysis of future eurozone integration” this tomorrow before consultations with members of the bloc, he said. AFP