European Scandal: EC Threatens Germany
By Marko Vidrih on The Capital
Chairman of the European Commission, Ursula von der Leyen, did not rule out sanctions against Germany due to the decision of the Federal Constitutional Court (FCC) of the European Central Bank.
Earlier a German court ruled that the actions of the European Central Bank to buy government bonds in Europe partially do not comply with the basic law of Germany. At the same time, the FCC verdict contradicts the decision of the European Court, which in 2018 recognized that the purchase of bonds is legal.
Ursula von der Leyen said she was serious about this matter and intends to carefully analyze everything.
“Based on the available information, we study the next steps up to the procedure of violation of [EU] agreements,” she said, recalling that the last word always “remains with the European Court of Justice”.
The decision of the FCC could aggravate the contradictions between donor and recipient states from the EU budget amid problems in the economy due to the coronavirus pandemic.
Author: Marko Vidrih
Featured image credit: Unsplash
