Cause and Effect in European Politics and Law
A More Different European Council – 23 October 2011

A More Different European Council – 23 October 2011

The European Council has not just been postponed from 17 and 18 October to 23 October - it has been compressed from two days into a single one, and combined with a eurozone summit. I do not know whether you can imagine what it means for the huge and heavy European bureaucracy machine to have to change its plans underway. But it speaks about the seriousness of the situation more than any statements of European leaders. Not surprisingly, only an hour after the laconic message of European Council President Herman Van Rompuy this news was on the front page of The Financial Times and was reported by most European media, including euinside.

There are several reasons for that decision. The report of the Troika on Greece will not be ready until 17 October, but is expected to be by 23 October - that is why there will also be a eurozone summit to decide on the allocation of the next tranche of the Greek loan. This issue goes together with the agreement on the private sector participation in the second Greek package – there are increasing speculations that the possible loss of private Greek debt holders could reach 60 percent. This raises even more painfully the issue of the recapitalisation of European banks - another important decision the leaders will have to make. Within the next two weeks Paris's and Berlin's proposals to stop the crisis, announced by Angela Merkel and Nicolas Sarkozy on Sunday, have to be prepared, presented and approved. The leaders of France and Germany set a deadline by the end of this month, so a European decision can be presented at the G20 summit in Cannes in November.

euinside has also made urgent changes in the planned organisation so that we could follow the European Council live, as well as the euro area summit on Sunday, 23 October. We will also cover the finance ministers meetings on the eve of the Council. On 19 October we will hold the second discussion on EU's economic governance in the European Parliament in Brussels. And of course, we will inform you regularly on this site, in our Free Talk Corner, as well as on our pages in Facebook and Twitter. You can watch euinside's videos on our channel in the YouTube.

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All the Power to the Euro Area

The eurozone leaders were strongly criticised for their decisions from 26 October not being sufficiently clear, explicit and detailed. This is true, because behind the vague phrases there are specific figures, which the proper solution of the problem depends on. But besides the figures there is ...
 | © The Council of the European Union | © The Council of the European Union

A Sleepless Night and Fateful Decisions in Brussels

The summit of the euro area leaders was so loaded with expectations for fateful decisions that when these had been taken, even the leaders themselves seemed to be surprised. Greece When the meeting continued to the wee hours of 27 October it became clear that the reason was the negotiations with ...
 | © European Union | © European Union

Poland Defended the Unity of the EU

When it became clear that during the Sunday European Council and eurozone summit the so longed comprehensive solution to end the euro area crisis would not be reached, momentarily a new summit was called, but only for the eurozone countries. In the tense hours during which the 27 leaders argued, ...
 | © REGIERUNGonline/Steins | © REGIERUNGonline/Steins

Germany: Greek Debt to be Reduced to 120% of GDP by 2020

The German Bundestag supported, by a large majority, Chancellor Angela Merkel hours before the crucial meeting of EU leaders and the eurozone in particular. The lawmakers gave Ms Merkel a clear mandate to negotiate with the other 16 eurozone countries to find a comprehensive solution to the debt ...
 | © The Council of the European Union | © The Council of the European Union

EU Gave Itself a Deadline Till Wednesday

As expected, the European Council has ended without taking a decision on the most painful issues from the agenda: reducing Greek debt and enhancing the euro area rescue fund. Even regarding the recapitalisation of banks, on which it was expected a decision to be taken today, the leaders will dec ...
 | © The Council of the European Union | © The Council of the European Union

Buzek: The European Commission Is Our Economic Government

European Parliament President Jerzy Buzek made a strong appeal to the European leaders to take the necessary decisions to address the crisis but together with the European Parliament. He clearly declared himself for treaty changes, aimed at strengthening the economic union, but without dividing ...
 | © euinside | © euinside

A thick fog over the European Council

Hello from Brussels again. The news here today is, again, for another day in a row, that there is no news, at least not officially. As the briefing of the eurozone finance ministers was cancelled yesterday, today [22 October] the 27 EU finance ministers met and left without giving a press conf ...
 | © European Commission- Audiovisual Services | © European Commission- Audiovisual Services

There will be a Second Eurozone Summit on Wednesday, 26 October

Final decisions on the comprehensive response to the debt crisis will be taken on Wednesday, October 26, a joint statement by German Chancellor Angela Merkel and French President Nicolas Sarkozy reads. Despite the fact that the European Council has been postponed with one week, the time would st ...
 | © European Commission- Audiovisual Services | © European Commission- Audiovisual Services

Solutions but Not Quite

On Sunday, the EU leaders will most likely give principled answers to the urgent issues but there will hardly be a complete clarity. This is the feeling in the lobby of the Council on the eve of the European Council and the Eurozone Summit. The leaders are expected to finally provide clear and d ...
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Where To Is EU's Way Out of the Crisis - Euinside's Discussion with MEPs

What should be done right now to save the euro area from contagion and to avoid repetition of the current situation? These are some of the issues we discussed with MEPs Diogo Feio (EPP, Portugal), Elisa Ferreira (Socialists and Democrats, Portugal) and Sven Giegold (Greens/EFA, Germany). For t ...
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The Most Awaited European Council

Everyone is watching Brussels now hoping that this is where good news will come from for avoiding global recession and a new crisis. And if by Monday morning the expectations were that the European Union would this time come up with indeed drastic measures to tackle the several problems especial ...
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Corien Wortmann-Kool MEP: The Crisis Fund Should Act As A European IMF

It is crucial that we immediately implement a very strong crisis financial mechanism that should act as our European Monetary Fund, and to have a common European plan for bank recapitalisation, Corien Wortmann-Kool MEP (EPP, the Netherlands) told euinside in a special interview. She was in Sofi ...
 | © European Commission- Audiovisual Services | © European Commission- Audiovisual Services

Barroso Said: We Will Change the Treaty But the Commission Will Govern the EU

European Commission President Jose Manuel Barroso made a preemptive strike and went ahead of France and Germany in making proposals for a common approach toward bank recapitalisation and enhanced euro area governance. Both countries, who are informal leaders of the eurozone, announced their inte ...
 | © The Council of the European Union | © The Council of the European Union

Slovakia Rejected the EFSF Changes, the Government Collapsed

After long hours of debates and a midnight vote, Slovakia's parliament has rejected the plans for expansion of the eurozone rescue fund - the European Financial Stability Facility (EFSF). After the Freedom and Solidarity party, the second largest partner in the ruling centre-right coalition refu ...
 | © Polish Presidency | © Polish Presidency

Where Does the Potential for Growth of the European Economy Hide

After three years of a heavy fight with the global financial and economic crisis, that has transformed into a fight for economic recovery, it is already clear that it cannot be led only on the front of stabilisation of public finances. Measures to boost growth are also needed. This issue was ind ...
 | © RegierungOnline/Bergmann | © RegierungOnline/Bergmann

Will Germany and France draw the "big bazooka" against the crisis?

Berlin and Paris will present a package of measures to stabilise the euro area and expect to receive support from their European colleagues by the G20 summit in Cannes in November. German Chancellor Angela Merkel and French President Nicolas Sarkozy met yesterday in Berlin to discuss the debt cr ...
 | © European Parliament- Audiovisual Unit | © European Parliament- Audiovisual Unit

The EU Is Urgently Stress Testing Its Banks, Finally

As a matter of urgency, the European Banking Authority (EBA) is doing what it should have done over a year ago - to examine EU banks' ability to bear the consequences of a massive sovereign debt restructuring. The Financial Times reported the news, noting that the potential shortage of capital i ...
 | © The Council of the European Union | © The Council of the European Union

The Second Greek Loan Could Cost More than Expected

Clouds are thickening over Greece, not only because the decision for the release of the sixth tranche of the Greek loan, from the EU and IMF, has been postponed until November. In a situation of growing social tension and daily strikes, Greece will probably have to make additional efforts, which ...