Reuters Blogs

MacroScope

Shining a light on the dismal science

11:53 November 6th, 2009

Europe’s multiple representation

Posted by: Jan Strupczewski
Tags: MacroScope

It must be a strange experience for non-European officials to talk to Europeans at events such as this weekend’s Group of 20 nations’ financial conference in St. Andrews, Scotland. If you want to make a deal with Europe, whom do you speak to? At the table there is Germany, France, Italy and Britain, a representative of the country that holds the rotating EU presidency (currently Sweden) and a representative of the executive European Commission.

The famous quote from Henry Kissinger “Who do I call if I want to call Europe?” is just as valid in economic policy-making as it is in foreign or defence policy.

In theory, the 27-nation European Union prepares its common position for global forums like

the G20 at ministerial meetings or summits shortly before the G20. So it should be enough to have just one pan-EU delegation that would present that common view, by necessity an internal EU compromise. Somehow, it is not.

Sources taking part in the meetings say the four biggest European economies that guard their individual seats at the G20 do not always speak with one voice. Or toe the EU line.

How does that make the EU representative look? Or the European Union as a whole? Why would anybody want to do a deal with the EU if its biggest members themselves undermine its authority by the very fact that they don’t trust a single delegation to present their joint view? Doesn’t that mean that, in fact, there is no common view? Then why bother with going through the motions of preparing a joint position before a G20?

The EU is an area with the biggest gross domestic product in the world – almost one third of world output and much above the United States, according to 2008 IMF data. It has half a billion citizens, making it the third biggest in the world after China and India.

Post Your Comment

*
To prove you're a person (not a spam script), type the security word shown in the picture. Click on the picture to hear an audio file of the word.
Click to hear an audio file of the anti-spam word

House Rules:
  • We moderate all comments and will publish everything that advances the post directly or with relevant tangential information
  • We try not to publish comments that we think are offensive or appear to pass you off as another person, and we will be conservative if comments may be considered libelous information.