The economic crisis in the EU was caused by the two “most revered parents” of the euro, Germany and France, which in 2003 did not comply with the stability pact, Mario Monti said today (3 March).
Speaking at the Delphi Economic Forum in Greece, the former Italian prime minister stressed that EU rules should be respected by all, both southern and northern European countries.
He noted that although some rules seemed strange and sometimes cruel, as fiscal discipline, they are designed to “protect the next generation of policies of current governments”.
Monti added that he wanted to see the European Commission doing more for some southern countries such as France, which “does not respect the stability pact regarding the budget deficit” and “greater rigor toward some countries of the north, such as Germany for the budgetary imbalances”, Monti emphasised.
According to the Italian former premier, the main cause of the eurozone crisis was the failure to comply with the rules of the Stability and Growth Pact, specifically France and Germany.
“It was caused by the two most revered parents of the euro, Germany and France, which in 2003 did not comply with the stability pact […] Neither the [Romano] Prodi Commission imposed any sanctions on both countries nor the EU Council wanted to,” the outspoken Italian politician noted.
He, also, argued that the fiscal discipline was not a “sadistic choice” of northern Europe and emphasised that despite the shortcomings and weaknesses of the eurozone, both Greece and Italy would have been in much more trouble without it.