Tuesday 20 December 2011

EUROZONE TREATY; WHAT WILL STOP IT ?


The euphoria surrounding the imminent birth of the EUROZONE is such that Leaders in the EU must, whether they are for, or against, or just hesitant, now decide whether the financial implications for their country are acceptable !!!

What options will be offered to the potential 26 candidates (not 27 because Britain has used its veto to abstain) ?  Will it be the right (or "pleasure" in the case of non-EURO countries !!!)  to participate in the costs of saving the EURO ?

Will the EUROZONE Treaty be perfectly clear on the financial conditions which apply to non-EUROZONE countries which want to join the EUROZONE set-up via the signing of the "expected treaty" ?

Will the EUROZONE Treaty specify how EU overhead costs will be shared ?

All the foregoing questions imply that a great deal of work and negotiation will be necessary to obtain agreed Financial Numbers which can be used to write a report leading to the ultimate  EUROZONE TREATY.

The best solution, timewise and from a cost point of view would be to engage Accountants and Lawyers from international firms to participate and sit-in on all key discussions !!!  That will cost millions of EUROS, but the outlay must be compared with the problems concerned, and there in fact, we are talking about  HUNDREDS OF BILLION EUROS !!!

One can only be pessimistic at the thought that Merkel and Sarkozy want a solution by APRIL 2012 !!! 

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