The eurozone is enjoying a sustained period of growth, with unemployment falling and inflation down. While the response to the crisis has improved financial stability, the process of reforming the monetary union is incomplete, and there are still important challenges over the longer term. Proposals to create a eurozone finance minister, budget and parliament, as President Macron has laid out, or even more ambitiously a degree of debt mutualization, will involve difficult compromises across the bloc, where the balance between notions of responsibility and solidarity remain hotly contested.
- What reforms in the euro area would be needed to improve convergence between economies with very different levels of growth and performance?
- How much appetite is there for reform across the bloc given competing political challenges?
- To what extent are German and French visions of monetary union compatible?
- How much more political integration is necessary to underpin the single currency?
- How might the goalposts of monetary union shift for those countries committed to join but not yet inside, and for countries hoping to join the EU in the future? How might this reduce the prospect of eurozone expansion in the medium term?