‘Three fears for Europe’

Published on 4 July 2013 at 12:09


With the political crisis in Portugal, “reality has overtaken all of the optimists” who believed the worst fo the crisis was behind us, remarks Handelsblatt

Until now, the saviours of the euro were held in suspense by the fires in Greece, Cyprus and Portugal, which flared up at different times. Today the fact that all of these problems have re-emerged at the same moment is very troubling.

The political crisis in Portugal prompted ”a 7 per cent fall on the Lisbon stock exchange” (although it recovered slightly to close the day only 5.3 per cent down) and the ”DAX [Frankfurt stock exchange] lost more than 2 per cent,” notes the business daily, which adds that markets have been unnerved at a time when “the Greek government is struggling with the troika to obtain payment of a further €8.1bn tranche of aid and Cyprus still needs billions” if it is to be rescued.

Subscribe to the Voxeurop newsletter in English

Even ECB president Mario Draghi’s optimism “has evaporated”, remarks the daily, which argues that the programme for the unlimited purchasing of bonds issued by crisis stricken countries and the reduction of the key interest rate to 0.5 per cent will not be enough “to provide a definitive solution to the crisis”.

Was this article useful? If so we are delighted! It is freely available because we believe that the right to free and independent information is essential for democracy. But this right is not guaranteed forever, and independence comes at a cost. We need your support in order to continue publishing independent, multilingual news for all Europeans. Discover our membership offers and their exclusive benefits and become a member of our community now!

Are you a news organisation, a business, an association or a foundation? Check out our bespoke editorial and translation services.

Support independent European journalism

European democracy needs independent media. Join our community!

On the same topic