Saturday, April 20, 2013

Eurocrash: the sunlit uplands beckon

Reuters 019-mos.jpg

I've been saving this one up all day and am now able to announce that, according to French finance minister Pierre Moscovici, we are back to a state of happy, happy, joy, joy.

Europe's monetary union is no longer in question as it was last year, he tells us. All he will concede is that, "There is still an economic crisis in Europe", but "it is a crisis of insufficient growth. There is no longer a crisis of the eurozone".

The winning ploy, Moscovici adds, has been the ECB's pledge to do whatever it takes to safeguard the single currency had been a big help. And since things are going along so swimmingly, we don't need no more austerity, he says. 

"In the second year of recession in the eurozone, it would not be reasonable to add to the recession," he told reporters at a press briefing following meetings of the Group of 20 nations and the International Monetary Fund in Washington, adding that European sentiment was improving and that worries about countries exiting the eurozone had receded. 

"There is no longer a northern Europe and a southern Europe, a virtuous Europe and a lax Europe," he said. "There is everywhere a preoccupation, which has contributed to saving the eurozone, to resolve the delicate situations of which we know - Spain, Italy, Greece, Cyprus - and at the same time to define a common agenda for growth".

So there you are folks. We can all go home and relax. The crisis is over – move along, nothing to see.