From Breakingviews - Rolling EU debt would boost investment and markets
, but the bloc has never had the kind of joint borrowing clout enjoyed by the United States, and its collective efforts have historically been small.
All this liquidity prompted the European Central Bank to promote the EU to its highest tier of eligible, meaning it can be used on the same terms as the debt of a single member state in monetary policy operations. were higher than that of French and German equivalents. EU-issued 10-year bond yields were at 3.02% as of Monday, compared to 2.43% for Germany and 2.90% for France .The EU could allay investor fears, and reduce its borrowing costs, by setting up a permanent, large-scale programme of debt sales, as well as refinancing outstanding obligations. Contrary to what proponents of Teutonic austerity claim, more EU debt would be safer EU debt.
In the future the EU needs to incorporate a consistent level of joint borrowing into its plans. Member states could choose whether to make this money available for normal EU budget needs, save it in a rainy-day fund or assign it to a dedicated purpose like funding cross-border renewable energy or public transportation.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Breakingviews - Even a weak Russia is a problem for EuropeA year after Putin invaded Ukraine, Europe seems destined for further economic decoupling from Russia. But extra defence spending and rebuilding costs will be minor compared to a scenario where Moscow crushes Kyiv, says Hugodixon
Read more »
Breakingviews - Ukraine yet to make defence a safe investor havenThe West’s rush to supply weapons to war-torn Ukraine looks like a golden opportunity for defence companies to exit the ESG doghouse. Russia’s invasion and rising defence budgets are pushing some market players to engage with companies in the $485 billion military equipment industry that previously failed to pass muster on environmental, social and governance grounds. Despite pressing calls from President Volodymyr Zelenskiy for more tanks and missiles at last week’s Munich Security Conference, however, the sector will largely remain a no-go investment zone.
Read more »
Breakingviews - BHP investors aren’t seeing the wood for the treesMike Henry is becoming a transformation expert. Since taking over as boss of Australian miner BHP at the start of 2020, he has sold its most polluting units, including the oil and gas division and some coal assets, and is buying more energy-transition metals while being careful not to overpay. Meanwhile, he’s digging up good results in volatile markets. Yet shareholders don’t yet seem to appreciate the big shift underway.
Read more »
Meta is rolling out a new paid verification subscription service for Instagram and Facebook usersMeta announced a new paid verification subscription service for $11.99 a month on the web and $14.99 a month on iOS.
Read more »
Daytona NASCAR Support Race Ends with Rolling Car, Photo FinishDaytona NASCAR support race ends with rolling car, photo finish.
Read more »