Emmanuel Macron violates the fundamental rules of democracy
France’s president has created a constitutional crisis and cannot sustain his dying centrist project
The ECB lacks the legal power to mop up French bonds until the crisis spins further out of control, either causing eurozone contagion or posing a systemic threat to monetary union.
“The ECB is in a bind. It can’t just bail out France,” said Thomas Mayer, a former chief economist of Goldman Sachs and Deutsche Bank.
Frankfurt may use its rescue tool (TPI) only to buy the debt of countries that pursue “sound fiscal and macroeconomic policies” and where the “trajectory of public debt is sustainable”, among other conditions. “None of that applies to France,” said Mayer.
Ambrose Evans-Pritchard Telegraph 7 October 2025
https://www.telegraph.co.uk/business/2025/10/07/emmanuel-macron-disaster-cause-european-integration/
Executive Board member Isabel Schnabel, who is in charge of market operations at the ECB, said in a speech about fiscal and monetary policy in early June — before the EU election and Macron’s shock announcement — that TPI “is only used in countries that pursue sound and sustainable fiscal and macroeconomic policies.”
She highlighted that the central bank “cannot counter persistent tensions that are due to country fundamentals” with the instrument.
Kommentarer