EU’s Inaction Threatens Its Sovereignty Says Draghi

Brussels: Former Italian premier and former European Central Bank President Mario Draghi warned that the European Union’s sovereignty is at risk because of its inability to act decisively as he addressed a high-level conference in Brussels on Tuesday on the progress made since he presented his report on boosting the bloc’s competitiveness a year ago. “One year on, Europe is in a more difficult situation,” he said. “Our growth model is fading. Vulnerabilities are increasing and there is no clear path to finance the investments we need. We have been painfully reminded that inaction threatens not only our competitiveness, but also our very sovereignty.”

According to Ansa News Agency, European citizens and businesses appreciate the diagnosis, the clear priorities, and the action plans. But they also express growing frustration. They are disappointed by the EU’s slow pace. They see the EU as incapable of keeping pace with the speed of change elsewhere. “They are ready to act, but they fear that governments have failed to grasp the gravity of the situation,” Draghi stated.

Draghi highlighted that the conditions for the EU’s targets to phase-out petrol and diesel cars in favor of electric vehicles “no longer apply” because “the imagined virtuous circle has not occurred.” He also noted that the recent agreement between the United States and the EU on tariffs was largely based on America’s conditions. Furthermore, he reiterated his call for the EU to consider taking on common debt to finance the investments needed to address the challenges it faces.