Michel Sapin: let Europe rediscover the initiative and dynamism
Michel Sapin Good day.EURONEWS will begin, of course, by the scandal known as Panama Papers, the case of tax evasion that hit planetary proportions. Concerned are foreign political leaders as the Icelandic Prime Minister, the President of Argentina, the Ukrainian President, the King of Saudi Arabia or the circle of people close to Vladimir Putin and the Chinese President. If everything checks out, how would you classify the behaviour of this international leaders?Michel Sapin I apologize in advance for answering this way, but I do not intend to interfere in the internal political debates or talk about the functioning of Justice in each of the countries, which must analyze what happened, whether or not cool everything that happened. I'm not supposed to get involved in these matters. Which I think is really important in all these revelations is that there is an awareness that allows us to see that we face different national additional phenomena, but a planetary-wide phenomenon. And, to fight against this planetary phenomenon, which we've been doing for a number of years, international cooperation is needed. EURONEWS the Panama undertook to start, from 2018, with automated information exchange with other States. But it doesn't seem that the country has been cooperating. Is this reality?Michel Sapin the reality is that the country seems to play hide and seek and that is a situation we cannot bear. There are certain countries, often very small countries, which have the desire to continue to serve as tax havens. Some islands and some territories.< /string>
EURONEWS we can say their names? As the Bahamas?
Michel Sapin Yes, as the Bahamas.
EURONEWS and the Seychelles?
Michel Sapin Yes, but the Seychelles changed their system. Are a few islands here and there.
EURONEWS Guernsey?
Michel Sapin Guernsey changed the rules too. So as you can see, there are things that have changed. In the old days, we were talking about Switzerland. Now, there are no problems in Switzerland until because many of the documents found on the system organ ized in Panama are related to a need to get away from Switzerland, where they can't be hidden fortunes or income.
EURONEWS now and deficit of the French public accounts. The France was able to reduce the public deficit in 2015. For those who like numbers, the reduction was of zero comma five i.e. three comma five of GDP. A good news. But the Vice-President of the European Commission underlined that are influenced by the called activity cycle, that is, not kept due to your policies. Made a mistake?
Michel Sapin Acknowledged before me have made a mistake when he used this kind of expressions. I was with him minutes later and told me that the ideas were poorly communicated. The Commission recognises the truth of things. The France has made considerable efforts to control the deficit. In 2015, we've reached a g oal higher than that provided for by the Commission, and with conditions that were not easy to fulfill. It was necessary to accelerate the reduction of the deficit and at the same time, cutting taxes, this after having been implemented a series of mandatory fees. And we have had to cope with a set of additional expenses related to emergency situations. We suffer the attacks in 2015. Increased spending on security. We decided to forcefully increase, the national defence costs, because the exércico is in our territory to protect the French, and also to combat international terrorism at the source.
EURONEWS Talk of the European Central Bank. Mario Draghi, as you know, used the "monetary Bazooka" a few weeks ago with new unconventional measures to kick-start growth. How do you think the outcome of these measures? Because, on the one hand, it is true that the euro and interest rates dropped. On the other, inflation is not yet on target of 2% defined by Draghi and the credit Bank kicks off so shy. A median result?
Michel Sapin Face enormous obstacles. We have an extremely low and even negative inflation, for the reasons I already know. Besides the production of raw materials, in particular in the agricultural sector, went through great difficulties, placing professionals in tricky situations. In view of this extremely difficult panorama, we recognize that we have a central bank, brave and determined. What is a great luck for us.
EURONEWS and nothing more on this subject?
Michel Sapin is a great luck. If we hadn't been able to rely on the central bank in the past two or three years, where we'd meet up? The only thi ng I can say is one sentence of Mario Draghi: monetary policy can't solve everything. Can solve a lot and even more. And there is a great determination to fight inflation too low and against this economic activity also too low, but you can't do everything. Each Member shall carry out fiscal policies the brightest possible.
EURONEWS and the European Central Bank should maintain the policy of monetary infusion while inflation does not come back to 2%?
Michel Sapin can't make decisions by the European Central Bank. I can hear what they say, namely, that it is possible to reach further and which should be tackled inflation, meaning that the 2% have not yet been achieved. European economic activity recovered completely.
EURONEWS has just published "without Europe" with (your) German counterpart Wolfgang Schaeuble, a supporter of Europe. It's always been a convinced pro-European. The problem is that they are less and less in Europe. The growth of the populist and xenophobic parties are proof of that. Turning then to that initial feeling, in a Europe which, today, we must confess, make us dream?
Michel Sapin is necessary to view this reality in France. The reality of increasing popularity of populism. And that worries people in our day. People want the country to grow economically and that there is a job. They want the country to be protected against a given set of elements at the international level, such as terrorism or migratory pressures. But it will be that we will achieve these goals each in their corner? Closing in on ourselves? Of course not. There will be no economic development if there is no space for the same. Neither shall there be any protection possible if each cares only for himself.
We can really protect our borders, but imagine that we will close all borders of France? Imagine the liberdadem loss of fluidity for everyone and also in economic terms. It is necessary to face reality and give a new breath to the pro-European and iniciatia not only to the European ideal. We're not going to find solutions to the major problems like this, alone. We can't put aside Europe. There are solutions, but not miraculous, but not immediate, it is necessary to build. We need to let Europe rediscover the initiative and dynamism.
EURONEWS Thanks, Michel Sapin, for the interview.
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