Spain’s PM urges EU member states to ‘take risks’
Wo months before the end of Spain’s six months at the helm of the rotating European Union presidency and on the eve of the Euro-Mediterranean summit in Valencia, Spanish Prime Minister Jose-Maria Aznar gave this interview to Kathimerini and four other European newspapers (France’s Le Figaro, Italy’s La Repubblica, Spain’s La Vanguardia and Portugal’s Diario de Noticia). Aznar, who has reigned supreme in his country’s political life for the past six years, is sometimes called the «Tony Blair of the center-right.» Although satisfied with steps taken within the EU toward liberalization during his term of office, particularly at the Barcelona summit, he stresses that Europe is fated to see the chasm separating it from the USA widening if there is no real economic and social revolution. Just a few hours after the failure of US Secretary of State Colin Powell’s mission to the Middle East, Aznar called for an international conference on the Palestinian problem with the participation of Yasser Arafat, the EU and Russia and for an international observer mission to the «humanitarian disaster» in occupied Palestinian territory. Of particular interest to Greece is Aznar’s stance on Cyprus’s entry into the EU and the stalemate over Turkey’s participation in the Euro force (see below). ‘No radical changes’ «If the EU member states don’t introduce major changes in their economic and social models, then over the next decade the Americans will be in the stratosphere and we will be watching them from the ground,» was how Aznar voiced his concern over the widening transatlantic gap in the sector of economic growth. «Throughout the 1990s, Europe’s growth rates were below 3 percent, far lower than in the USA, so the gap has widened. There is a clear danger that it will widen even further in terms of economic growth, competitiveness and employment. At the Barcelona summit, we took important decisions, particularly with regard to deregulating the energy market for major consumers, but the greatest challenges are still ahead,» he said. Asked whether a drastic «Americanization» of Europe with a complete liberalization of markets and market flexibility would pose risks of social unrest, such as the recent general strike in Italy against similar measures by the Berlusconi government, he said: «Personally, I am not suggesting ‘radical’ changes of this kind. That is not what the essence of the argument is about. The real problem is how Europe can create the best conditions for growth and employment,» he said. Invoking his own country’s decadelong positive experience, he summarized the «Spanish formula» as follows: «We should dare to go ahead and reduce taxes, keep trying to achieve zero deficits, reform labor relations and try to resolve the pensions problem. The key is to move from the tradition of subsidies to a policy of boosting growth and employment.» As for the risk of social upheaval, Aznar felt that risks are always inherent in any change. «However, the greatest risk is to do nothing out of fear of taking risks. I firmly believe that if a reform is based on common sense, if it responds to society’s real needs and is explained properly, it is sure to succeed,’ he said, adding: «In Spain, for example, during my six years as prime minister, we have created 2,700,000 new jobs. Many of these are part-time jobs, but today there is not a single Spaniard who does not have social security. It is a real revolution in social relations. However, at a time when the European population is ageing – this was widely discussed at the recent international summit in Madrid – how can people retire at the age of 52 or 53? Or for people who turn down jobs to be paid unemployment benefits? Experience over the past 10 years has shown that EU members that have adjusted better to the needs of the new age are also those that have performed better regarding growth and employment. On the other hand, those states that have delayed adopting changes are those that have been losing ground.» An advocate of the «Europe of states,» the opposite extreme of the federal model favored by countries such as Germany, Aznar has presided over the EU during a critical period for the reform of its institutions, particularly following the triumphant premiere of its Convention on the Future of Europe headed by Valery Giscard D’Estaing. The Seville summit that will mark the conclusion of Spain’s presidency is to focus on this very question. «Various drafts have been submitted, such as a British-German one, and proposals by the Commission. We are working intensively on these and hope to have completed preliminary work for Seville by the end of May after a round of talks in European capitals,» said Aznar. He made it clear that in Seville he would not try to force through decisions on certain very important issues, such as restricting member states’ power of veto, as he feels that for one thing the time is not yet right and secondly, it is something the Convention will be dealing with. «What we can do, however, is to take decisions on individual issues, such as a change in the way the European Council operates, with fewer and better prepared issues on summit agendas,» he said. Regarding the future architecture of the European Union given the imminent expansion, Aznar spoke in favor of electing a president of the European Council for a period of longer than six months. He did not commit himself to the idea of setting up a smaller EU presidium. However, he did declare his opposition to suggestions of a directorate and to discrimination between «large» and «small» states, saying that constitutional balances had to be maintained. The Spanish prime minister distanced himself from the startling proposal by Italian counterpart Silvio Berlusconi for Russia to enter the EU. «It would be interesting… but cannot happen tomorrow. Russia first has to make a smooth transition to the free market so as to create conditions for closer relations with the European Union and others. However, it is positive that next week EU and Russian delegations are meeting, for the first time at ministerial level, to discuss security, migration, organized crime and drugs.» «It would be interesting… but cannot happen tomorrow. Russia first has to make a smooth transition to the free market so as to create conditions for closer relations with the European Union and others. However, it is positive that next week EU and Russian delegations are meeting, for the first time at ministerial level, to discuss security, migration, organized crime and drugs.»
