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Spanish Prime Minister Pedro Sánchez again called for debt-sharing

On Sunday, Spanish Prime Minister Pedro Sánchez reiterated his call for debt-sharing in the European Union (EU).

Spanish Prime Minister Pedro Sánchez again called for debt-sharing
Yazar: Tom Roberts

Yayınlanma: 9 Mayıs 2021 20:55

Güncellenme: 19 Kasım 2024 22:35

Spanish Prime Minister Pedro Sánchez again called for debt-sharing

On Sunday, Spanish Prime Minister Pedro Sánchez reiterated his call for debt-sharing in the European Union (EU). According to him, it will help her better compete with other countries in the world. In an interview with the Greek newspaper To Vima, which was published on Sunday, Sanchez said the EU's agreement on an unprecedented recovery fund to recover the bloc from a € 750 billion new coronavirus pandemic was a "great success". However, Europe must still work to deepen its fiscal integration through a common banking union and a capital markets union. The European fund and full mutual debt sharing are important for the EU's move towards higher quality, Sánchez said before his official visit to Athens. Otherwise, Europe risks falling behind in a world that is becoming increasingly competitive, he added. Spain and Greece, which have a high debt-to-gross domestic product (GDP) ratio, would benefit from collective borrowing in the markets. But Germany's largest economy, Germany, as well as other rich nations in northern Europe, have long opposed the issuance of joint European bonds with other countries, especially with indebted nations in the south of the bloc. They argue that these states would then stop implementing structural reforms and recover their finances. Spain and Greece, two popular Mediterranean tourist destinations, also support a joint EU vaccination certificate, which could show tourists that they have been vaccinated against COVID-19 or have a negative test. Sánchez hoped that the so-called "green passport" would be ready before the summer holiday season.
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