Skeptical voices have been raised over whether measures proposed by Berlin and Paris will help the euro in the long run. Political analyst and author F. William Engdahl thinks the EU needs to look beyond the West to secure its financial future.
“I think the collective economic government that Merkel and Sarkozy are talking about is really a desperate political ploy to try to create the illusion of stability where the underlying stability doesn’t yet exist,” he told RT. “There is no political will – not in Germany, nor in the rest of the Eurozone countries – for surrendering national sovereignty to a collective entity that has in it decision power. So, it’s simply a chimera that’s been thrown out there to try to calm the markets.”
The analyst believes that the only alternative for Europe is to get stable export market relations with Russia, the Central Asian republics, China, other Asian countries and the Middle East. This would create a growth vector that would lead out of the “debt impasse that the Eurozone countries are in,” he said.
“Without that, and as long as the dollar system dominates international financial relations, and that Moody’s, Standard Poor’s do the rating on sovereign debt for European Union countries and that there is no independent European credit rating agency, and that there is no growth perspective on the austerity, then there is no out to this crisis,” Engdahl concluded.