The coronavirus threatens the survival of the EU, George Soros warned

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The survival of the European Union is in question unless it issues perpetual bonds to help the union’s worst-affected countries, such as Italy, are affected by the coronavirus epidemic. This was stated by the American billionaire George Soros, quoted by Reuters, a few days before the presentation of the plan for economic recovery in Brussels.

“If the EU is unable to plan for this at this stage, it is unlikely to be able to survive the challenges it currently faces.” points out Soros in an e-mail exchange of questions and answers with journalists.

“This is not a theoretical possibility, but it could be a tragic reality,” the businessman added.

Soros is particularly concerned about the situation in Italy.

“The easing of state aid rules, which is good for Germany, has been particularly unfair to Italy, which is already the sick person in Europe, but also the country most affected by the coronavirus.” adds George Soros.

Reuters recalls that Soros was known for his attack on the British pound in 1992.

This is not the first time Soros has issued warnings to the EU. Two years ago, in mid-June 2018 (when there was no pandemic), he said in an interview with the Washington Post that the EU was on the verge of extinction and that this was not a metaphor but a harsh reality.

Then the billionaire repeated his famous phrase: “Everything that could go wrong went wrong.” He urged Brussels to reform and “rethink the union again”.

What rescue measures will the EU present?

The European Commission will present its proposal for a recovery plan on 27 May. She warned this week that she would not accept the Franco-German idea of ​​setting up a 500 billion-euro fund for budget expenditures, but would consider loans and subsidies.

Brussels plans to use the crisis caused by the pandemic to accelerate the transition of the EU economy to the green wave. This idea will be central to the € 1 trillion recovery plan for the European economy for the period 2021-2027.

How will Italy get out of the disease

Italian Prime Minister Giuseppe Conte told parliament yesterday that his government had prepared a series of reforms to reduce bureaucratic hurdles, improve corporate governance and encourage investment to revive the coronavirus-hit economy.

Conte promised the so-called simplification decree would attract foreign capital by modernizing bureaucratic procedures. The state will support the recapitalization of companies affected by COVID-19.

The decree considers schemes to discourage listed companies from moving abroad and to help longtime Italian shareholders prevent hostile offers. According to the plan, each share will entitle shareholders to three votes and thus strengthen their control over companies.



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