Skip to comments.Hollande floats €120-billion ($152.6 billion) 'European growth pact' (vive le socialisme?)
Posted on 06/18/2012 2:53:05 AM PDT by Olog-hai
French President François Hollande wants the European Union to agree before the end of 2012 on growth-boosting measures worth 120 billion, putting him on a collision course with German Chancellor Angela Merkel who has ruled out further spending to restart Europe's ailing economy.
The money is to come from a combination of short-term growth instruments such as project bonds, reallocated EU structural funds and fresh investment capital from the European Investment Bank (EIB), according to the weekly Journal du Dimanche on Sunday (17 June).
The paper cited a proposal circulated by France ahead of an EU summit on 28-29 June, which is expected to agree a growth agenda as well as a longer-term road map for greater fiscal and economic integration in the eurozone.
The newspaper also reported that France has accepted Germany's rejection of its call to issue mutualized debt in the euro bloc and now agreed that so-called euro bonds were a project to be looked at over a 10-year time frame.
Hollande submitted his ideas to EU partners and the European Council a few days ago ahead of a Group of 20 summit in Mexico on Monday and Tuesday and four-way talks with the leaders of Germany, Italy and Spain in Rome on Friday.
"From June, the European Council should adopt growth measures having a rapid impact and totaling 120 billion," the newspaper cited Hollande as saying in the document, entitled "European growth pact."
Hollande said the measures should be enlarged upon before the end of 2012 with the creation of a financial transaction tax and measures to create jobs, especially for young people.
Hollande has put himself on a collision course with the German government, however, with his push for the eurozone to adopt new mechanisms to insulate member states and their banks from market turmoil, such as a joint fund to pay down debt.
The problem with socialism is that eventually you run out of other peoples money - Margaret Thatcher
They had a euro summit in mexico? No wonder they’re broke
“Growth” is the new buzzword for growth in Government and/or Government management of the economy.
So it’s time to repay the goons that put him in......
European growth pact is European government growth pact.
France is thumbing their nose at Germany.
They are showing no signs of easing their spending and Germany is getting tired of being the sugar daddy.
Wonder what hollande will do when Germany cuts them off.
Nigel Farage may have to be hospitalized to get the grin off his face.
They picked the creme de le crap with ol’ Hollande..
He says he wants to preserve the early retirement way of life for EUrope.
Good luck, punk.