A Europa declina lentamente...
Europe must “toughen up” and use the war in the Middle East and disruptions to energy supplies as a spur to greater economic unity, IMF Managing Director Kristalina Georgieva said on Tuesday.
Europe is better prepared than just a few years ago to withstand the latest economic shock, but the continent is being left behind as the US and China race ahead, Georgieva told the One Europe, One Market Summit in Brussels.
“We see too much conflict between EU and national rules and priorities, too many barriers to intra-EU trade, and too much fragmentation in European energy and labor markets,” she said.
In 2010 Europe had the same nominal GDP as the United States, but now it is significantly lower. After two decades of weak productivity growth, European income per person is 70 percent of America’s, and the gap is widening.
Europe has achieved much already but must go further still, Georgieva said.
“Complete the single market, because the strength of your growth depends on it, and manage long-term spending pressures, including in defense, because resilience depends on it.”
