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Sarkozy backs no-fly zone over Libya – EU fails to agree on sanctions;
Open Europe: The EU should impose sanctions on the Libyan regime
The EU yesterday failed to agree on sanctions for Libya and instead released a joint communiqué, agreed by member states' ambassadors, condemning the "unacceptable use of force against civilians" and said the bloc "is ready to take further measures" if need be, reports EUobserver. Despite support for sanctions from France, Germany and Finland, diplomats say Italy, Malta and Cyprus have reservations about sanctions, due to business ties and fear of a wave of immigration. French President Nicolas Sarkozy has called for a NATO-imposed no-fly zone to be immediately enforced over Libya. The UK Government has so far stayed clear of making statements about concrete measures against the Libyan regime.
EU Foreign Minister Baroness Catherine Ashton has announced that the EU has suspended EU-Libya negotiations over the framework agreement and that sanctions will be considered after all citizens from EU countries have been successfully evacuated. It is estimated that 5,000 to 10,000 citizens from EU countries are still in Libya. A spokeswoman for Baroness Ashton said that most EU countries are now unilaterally suspending arms sales to Libya.
On the Spectator’s Coffee House blog, Open Europe’s Mats Persson argues, “The UK should throw its full weight behind German, French and Finnish calls for sanctions, including an EU-wide travel ban on Gaddafi and his family, as well as a freezing of their assets across the bloc…While it’s true that the EU’s leverage in Libya and some other parts of Northern Africa and the Middle East is very limited, when Europe does pull together it can actually exert influence in its backyard. Enlargement remains the EU’s greatest foreign policy achievement made possible through a mix of aid and trade incentives.”
He continues to argue, “In terms of responding to the challenges in the wider region, David Cameron is absolutely correct in calling for radical reform of the EU’s neighbourhood policy, which…has dished out billions to the region, with few strings attached. In future, no reform on the human rights front should mean no cash…At the same time, the EU needs to use other incentives and tools to promote long-term democratic and economic transformation in the region. For example, the EU should consider opening up its markets to more goods from North African countries on the path towards democracy.”
La Repubblica reports that the EU’s border agency Frontex estimates that between 500,000 and 1.5 million refugees from North Africa could reach EU shores, primarily heading towards Italy, Greece and Malta. Italian Interior Minister Roberto Maroni has said that he wants to ask the EU to establish a special solidarity fund to help Italy and other Southern European countries cope with the massive flow of migrants. AFP reports that yesterday European Commission President José Manuel Barroso implicitly criticised Italy, arguing: “This question of migration or illegal migration, and sometimes even of refugees, is used as a means not to support democracy, and I disagree with that.”
Guardian Independent EUobserver BBC EUobserver 2 Evening Standard Evening Standard: Leader Spectator: Coffee House blog Express FT European Voice European Voice 2 EurActiv FT Editorial El Pais Irish Times El Pais 2 El Pais 3 Frankfurter Rundschau Europa AFP La Repubblica
Irish voters go to the polls to vent anger at EU-IMF bailout;
Opposition parties all seeking renegotiation of bailout terms
The Telegraph reports that voting in Ireland’s general election has started in parts of the country with a Paddy Power/Red C opinion poll putting Fianna Fail, the leading party in the ruling coalition, on 15%, heading for its worst ever result as voters express their anger at the EU-IMF bailout.
The Irish Times notes that the Fine Gael opposition, currently leading in the polls, as well as Labour and Sinn Fein all want to seek a renegotiation of Ireland’s bailout terms, either through lower interest rates on the loan repayments or by forcing bondholders to take ‘haircuts’ on the Irish banks’ debts. Former government parties, Fianna Fail and the Greens have both said any new deal cannot be negotiated unilaterally. The FT reports that Ireland’s leading business group has come out backing calls for a renegotiation. “Until now we would have been fairly bullish about what is happening in the real economy, but if there are further calls for state support to be given to the banks then I think our debt ratios will reach a tipping point,” said Fergal O’Brien, Irish Business and Employers Confederation’s chief economist.
The German media has noted the hostility directed towards the EU throughout the election campaign. FT Deutschland notes that the “Irish elite is conducting a campaign against the saviours: the EU, the ECB and the Germans.” Handelsblatt reports that, “Brussels, Paris and Berlin are depicted as enemies.”
The Irish Independent reports that German Chancellor Angela Merkel has suggested that Ireland’s low corporate tax rate led to “misallocations” and may have contributed to the banking crisis.
Telegraph FT Telegraph: Analysis Telegraph: Warner Irish Times: Leader Irish Independent Handelsblatt Irish Independent Irish Independent 2
German Constitutional Courtcould defer decision on eurozone bailout to the ECJ for preliminary decision
FAZ reports that Andreas Voßkuhle, the President of the German Constitutional Court, has declared that no hearings are planned for the lawsuit against the eurozone bail-out. However, observers reportedly believe that a decision could be announced soon, especially if the Court chooses to defer the case to the European Court of Justice for a preliminary decision. It is claimed that this could happen because the lawsuit concerns the infringement of the “no bailout clause”, which is a matter of European law.
The article also reports that the group of eurosceptics around Professor Joachim Starbatty has urged the German Constitutional Court to prevent the planned extension of the eurozone rescue mechanism. Professor Starbatty is quoted saying: "The Court should have long ago started to deliberate on our complaints, in order to protect the citizens…A German Finance Minister is now prepared, supposedly to stabilise the euro, to put up three quarters of the German budget and thereby burden taxpayers."
Reuters reports that German Chancellor Angela Merkel has been put in a difficult position by a motion produced by MPs from her own party, the CDU, along with the CSU and FDP parties which demands that the German Government reject any measures which may lead to a “transfer union” in the eurozone.
Meanwhile, EUobserver reports that protests against the austerity programme in Greece, following a nationwide strike, turned violent yesterday further increasing the pressure on the Greek Government to renegotiate bail-out terms.
FAZ El Pais Reuters FAZ Handelsblatt: Eichengreen FT Money Supply FT Money Supply Bloomberg AFP WSJ EUobserver EUobserver 2 AFP WSJ Opinion EurActiv
A leader in the Spectator argues that the Conservatives are now “discovering that the EU is interested in them even if they are not interested in it … one can’t park an issue that is still being driven forwards.” The article also suggests that a recent Downing Street audit found that “half of the government’s agenda was European in origin.” This has lead to many Tories rediscovering “their inner Eurosceptic.”
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Britain is drawing up plans to join forces with the US and France to impose tough new sanctions on Iran amid fears that more formal UN and EU measures are failing to deter Tehran from developing nuclear weapons, reports the Guardian.
Guardian
German trade unions warn Commission proposals on non-EU workers could lead to wage dumping
Frankfurter Rundschau reports that the German Trade Union Federation has warned that proposed new EU rules allowing multinationals to employ temporary highly-skilled non-EU workers in Europe could cause ‘wage dumping’. The organisation argues that the definition of “skilled” workers is too broad and that workers coming from outside the EU could undercut European wages.
Frankfurter Rundschau
On his Coulisses de Bruxelles blog, French journalist Jean Quatremer argues in favour of concentrating the European Parliament’s work in Brussels, noting that the costs of keeping the Strasbourg seat have also become unbearable for the journalists who have to travel to follow MEPs’ plenary sessions.
Coulisses de Bruxelles
El País reports that a leaked US cable disclosed by Wikileaks has revealed that in 2009 the German Space Agency informally proposed that the EU’s Galileo satellite system and the US’ GPS be joined for technical reasons.
Open Europe research El Pais
Bloomberg reports that the European Commission has discussed with member states new proposals to strengthen the surveillance of the EU’s emissions market, in response to the thefts of carbon permits from national registries over the past months.
Bloomberg
European Voice reports that the European Commission imposed a temporary freeze on payments to 51 EU regional development and cohesion projects over the past year, valued at €2.16bn, due to poor auditing controls by member states. However, in most cases funding was unfrozen again after a few months.
European Voice
The Mail reports that human rights lawyer Phil Shiner has said he will use the European Convention on Human Rights to challenge the Government’s policies of library closures and increased tuition fees, claiming the cuts will adversely affect poor students and those from ethnic minorities.
Mail Guardian
European Voice reports that the European Commission is considering establishing a committee to vet foreign bids for European companies, following concerns that state-backed enterprises from China and Russia could “swallow” European firms. The proposal is driven by concerns over the impact of foreign acquisitions on national security, especially in the areas of energy infrastructure and sensitive telecommunications or internet networks.
European Voice
ORF reports that EU Digital Agenda Commissioner Neelie Kroes has threatened to impose more regulation on mobile phone operators if they do not speed up measures aimed at reducing data roaming charges in other European countries.
ORF
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The EU should impose sanctions on Gaddafi
Open Europe blog