World Pride is being celebrated on our continent this week, but a surge in intolerance towards LGBTI people in Europe is nothing to be proud about. In more and more European countries, politicians and public officials are shamelessly targeting lesbian, gay, bisexual, transgender and intersex (LGBTI) people for political gain, fuelling prejudice and hate. In so doing, public officials – sometimes at the highest level – are failing in their duty to promote equal dignity and human rights for all.
On the one hand, spectacular progress has been made in Europe in just a couple of decades: many Council of Europe member states have passed laws protecting LGBTI people from discrimination, hate speech and hate crimes; 30 member states offer protection for stable same-sex relationships; and the right to legal gender recognition has been strongly asserted. Overall, public attitudes towards LGBTI people have markedly improved in many places. At the same time, homo/transphobia continue to linger and to hinder LGBTI people’s full inclusion in society. The COVID-19 pandemic revealed that too many within the LGBTI communities remain vulnerable, exposed to intra-familial violence and without proper access to employment, housing and health care.
The progress of the past years coupled with persisting homo/transphobia in our societies have now provided fertile ground for exploitation by opportunistic and anti-human rights political movements.
Stigmatisation of LGBTI people for political gain
Over the last few years, my predecessor, the European Parliament, the Council of Europe European Commission against Racism and Intolerance (ECRI) and Congress of Local and Regional Authorities, as well as the European region of the International Lesbian and Gay Association (ILGA-Europe) and others have warned about a worrying rise in intolerance of LGBTI people in Europe. My own work provides further illustration of this trend and points to one key cause of the hatred: some politicians are instrumentalising existing societal prejudices and verbally attacking LGBTI people to achieve political objectives for their own benefit.
Scapegoating LGBTI minorities has become a tactic applied by ultra-conservative and nationalist politicians posing as defenders of so-called “traditional values” to strengthen their base and gain or stay in power. I have observed that stigmatisation of LGBTI people is particularly pronounced in the run-up to elections and votes. For example, in my report following a visit to Armenia in 2018, I concluded that various parliamentary bills discriminating against LGBTI people seemed to be deliberately designed to stoke anti-LGBTI sentiment as part of rivalry between opposing political parties. I warned against politicians using hate speech against LGBTI people during election campaigns in Moldova in a 2020 visit report and called on the authorities to take steps to tackle the problem. In Poland, as I described in the Memorandum published in December 2020, high-ranking officials and politicians affiliated with the ruling coalition used the stigmatisation of LGBTI people as a campaign tool during the 2019 parliamentary elections. In the 2020 presidential elections, the serving President of Poland, running for re-election, promised to prohibit the “propagation of LGBT ideology” in public institutions, calling it “worse than Communism”, and tabled a bill proposing to ban “any person in a relationship with another person of the same sex” from adopting children. As the 2022 parliamentary elections approach in Hungary, the ruling party there is evidently taking the same path.
In the Russian Federation, exploiting anti-LGBTI prejudice to attract votes is a long-standing practice, the latest example being the proposal to enshrine a ban on same-sex marriage in the Constitution. At the time when this was proposed, the polls indicated that many voters were undecided as to whether to participate in the constitutional referendum being held in the summer of 2020, which sought to make sweeping changes to the Russian Constitution. In Bulgaria, I documented the use of inflammatory language by politicians, some of whom made banning the Sofia Pride march an election campaign promise. In several countries, politicians expressing anti-LGBTI views have links with far-right and neo-Nazi movements involved in violent attacks on LGBTI events. Most recently, Bulgarian activists alerted me to a spate of incidents at Pride events carried out by one such far-right group in what appeared to be an attempt to drum up votes in the July parliamentary elections.
In addition to mobilising certain categories of voters, the exploitation of societal homo/transphobia has proven a convenient way to divert public attention away from government failure to address pressing social issues and rising inequalities and broader attacks under way on human rights and democracy. In Hungary, for example, legislative rollbacks concerning the human rights of LGBTI people, including the constitutional amendments passed in December 2020 and a law prohibiting, under the pretence of protecting children, the dissemination of LGBTI-related information to minors, were adopted jointly or around the same time as other measures with a severe impact on democracy and human rights, including changes to national human rights structures, transparency on the expenditure of public funds and electoral law. In Turkey, I recently expressed my dismay at the increasing stigmatisation of LGBTI people by politicians and opinion-makers. The Turkish authorities withdrew from the Council of Europe Convention on preventing and combating violence against women and domestic violence (Istanbul Convention), claiming a need to resist “the normalisation of homosexuality which is incompatible with Turkey’s social and family values”. This unfounded allegation paves the way for further stigmatisation of LGBTI people and Turkey’s withdrawal from the Istanbul Convention will have serious consequences for women’s safety and rights.
I am troubled that transgender people are under attack from politicians from across the political spectrum. For instance, the President of the Czech Republic did not have any qualms about stating that he found transgender people “disgusting”. Transgender people and their rights have become a toxic battle ground. In Hungary, Italy, Spain, Poland and the United Kingdom – to name but a few – politicians incite and perpetuate transphobia, questioning the “normality” or even the very existence of transgender people.
These are unfortunately just a few examples drawn from my own work and monitoring. In its latest annual review of the human rights situation of LGBTI people in Europe, ILGA-Europe documented cases of verbal attacks by politicians (whether they are in power or not) on LGBTI people in 2020 in several other member states, including Bosnia and Herzegovina, Estonia, Finland, Latvia and Slovakia. I am concerned that we are facing a downward spiral with more and more politicians across Europe feeling emboldened to resort to such unacceptable attacks on LGTBI people as they see these tactics work in other countries.
Influence of the so-called “anti-gender movements”
Politicians targeting LGBTI people often propagate narratives promoted by the so-called “anti-gender movements”. For some years now, there have been reports about the expansion – in Europe and the rest of the world – of these increasingly organised, transnational and well-funded movements, made-up of religious extremists and ultra-conservative organisations. The anti-gender movements call into question the concept of gender and whether it is a protected category in the human rights framework, promoting an ultra-conservative view of the family, sexuality and women’s role in society. Anti-gender movement actors seek to blur the lines for their audience by adopting the vocabulary of human rights, but what they are doing in reality is working to deprive other groups – mainly women and LGBTI people – of their rights.
The influence of the anti-gender movements in politics is increasing. Some politicians are not hiding their affiliation and others may seek convenient alliances because the issues raised are known to attract votes and distract attention from real problems. In my work, I have clearly seen some common patterns across several countries in the way political leaders resort to “anti-gender” slogans in national campaigns emerging around issues, such as same-sex marriage and adoption by same-sex couples. By permeating the political scene, the anti-gender movements are increasingly well-placed to erode the protection of human rights in Europe. It is urgent to acknowledge this fact and take steps to counter it.
Harmful impact on LGBTI people
Targeting LGBTI people for political gain is a costly strategy which harms the lives and well-being of those affected and undermines social cohesion in general. When public officials and elected politicians employ intolerant rhetoric, this signals to others that they too can engage in hateful actions with impunity. In the European Union (EU) Fundamental Rights Agency’s 2020 survey of LGBTI people, negative public discourse by politicians was identified as one of the key contributing factors in prejudiced social attitudes towards LGBTI people. Harassment of LGBTI people and activists on social media and everyday acts of violence are on the rise in Europe. Hardly a week passes without reports of serious physical attacks motivated by homophobia or transphobia. Recently, the Tbilisi Pride march in Georgia had to be cancelled after violent attacks on the organisers’ headquarters and journalists covering the events.
Toxic rhetoric targeting LGBTI people also hampers their ability to fully participate in all facets of life, including political and public life, and to have full access to education, health care and employment. In Poland, the proliferation of anti-LGBT declarations and “family charters” adopted by some local governments has led to many LGBTI people being shunned by members of their own communities. Others are seeking to leave the country altogether. In Bulgaria and Ukraine, LGBTI activists informed my office that young people increasingly avoid LGBTI events and community centres over fears of attacks and intimidation by members of extremist groups. This hostile atmosphere is driving LGBTI people back into the closet in many places, in a clear affront to their human dignity and right to live in freedom and safety. A climate of hatred promoted by public officials also has a huge impact on LGBTI people’s mental health.
Stigmatisation and political manipulation of LGBTI issues rarely stops at words; it often goes on to adversely affect how LGTBI rights are protected at policy level and by law. At a very minimum, as highlighted in ILGA-Europe’s 2021 annual review, the current polarisation has brought the adoption of new legislative proposals protecting the rights of LGBTI people to a standstill. Transgender Europe has reported a slowdown in new initiatives increasing the protection of trans people. Bills that should be uncontroversial have spurred heated political debate. For example, in Italy, a bill ensuring that sexual orientation and gender identity are mentioned along with other grounds in a law prohibiting hate speech and hate crimes, has been blocked for months. Opponents have argued that this move threatens freedom of expression and freedom of thought. But, as clearly established by the European Court of Human Rights, hate speech against LGBTI people is not protected by freedom of expression, and neither is it by freedom of belief. In countries where politicians proudly voicing anti-LGBTI positions are in government, we already see a dismantling of existing LGBTI rights or positive policies, for example with regard to legal gender recognition.
Towards political will for inclusion instead of political manipulation of homo/transphobia
This trend for political manipulation of homo/transphobia in Europe must be tackled without further delay. In line with ECRI’s General Policy Recommendation on combating hate speech, I urge member states to take measures to ensure that politicians refrain from making derogatory comments about LGBTI people. Political parties and parliaments should adopt codes of ethics that prohibit and punish homophobic and transphobic hate speech. Public representatives should systematically condemn homophobic and transphobic speech. There must be no impunity for particularly serious cases of incitement to hatred and violence by politicians.
In addition to refraining from spreading hate, political leaders should take positive steps to foster a culture of equal treatment and equality. As highlighted in Recommendation CM/Rec(2010)5 of the Committee of Ministers to member states on measures to combat discrimination on grounds of sexual orientation and gender identity, “public officials and other state representatives should be encouraged to promote tolerance and respect for the human rights of LGBTI people”. Similarly, the Parliamentary Assembly of the Council of Europe also underscored the specific responsibilities of political leaders in combating hate speech and intolerance in its Resolution 2275 (2019). The Congress of Local and Regional Authorities highlighted in a recent report that “whatever their political backgrounds, mayors and local and regional councillors have a responsibility vis-à-vis all their fellow citizens to establish inclusive societies based not on prejudice and the rejection of others, but on dialogue and concertation.”
I realise that it sometimes takes real political courage and wisdom to tackle deep-rooted homophobia and transphobia. Standing up for a minority group’s human rights may not always be popular with one’s political base. But we need politicians who are not afraid to lead by example. I want to salute just a few recent examples of such courage. I commend the President of North Macedonia for joining in this year’s Pride March in Skopje, which was only the second ever to take place in the country. In the United Kingdom, a cross-party group of lesbian, gay and bisexual Members of Parliament also spoke up in support of transgender people in the midst of a contentious public debate. The President of the European Commission, when announcing the LGBTIQ Equality Strategy 2020-2025, also sent a powerful message in favour of inclusion and diversity by stating that “being yourself is not your ideology. It’s your identity”.
Overall, member states must work to bring about broader changes in societal attitudes towards LGBTI people. This requires outreach campaigns and education in schools to promote understanding and respect of the human rights of LGBTI people. LGBTI human rights defenders are doing amazing work to counter the spread of hate and should be better supported. Member states should also ensure a strong national human rights infrastructure is in place to protect LGBTI people when political leaders fail in their responsibilities. This includes national legislation prohibiting discrimination, hate speech and hate crimes based on sexual orientation, gender identity and sex characteristics, and effective national human rights structures which can work to denounce abuse. In this regard, I have noted the crucial work undertaken by the Polish Commissioner for Human Rights in recent years in challenging anti-LGBTI declarations and “family charters” before the courts.
Politicians’ scapegoating of LGBTI people for their own gain is only a symptom of their more widespread opposition to and assault on human rights and the rule of law. In some countries, they portray the recognition of the human rights of LGBTI people as an external imposition that goes against national tradition or wield the issue in their confrontation with European and international institutions. In doing so, they clearly challenge the values and the human rights system on which our continent is built. Human rights are universal and indivisible: ensuring that everyone in society can enjoy them is the key to cohesive, peaceful societies where everyone can strive. Pitting groups of people against each other breeds tensions, hate and violence – only serving the narrow interests of some unscrupulous politicians.
Europe is at a crossroads in the protection and inclusion of LGBTI people. By standing up for LGBTI people, we defend the equal human dignity of all, protect our societies’ wellbeing and the strength of our precious human rights system. Targeting, scapegoating or ignoring one group can ultimately negatively affect us all.
The French Dispatch: The Year 2022 and European Security
2021 has been rich in negative events for European security: the world has witnessed the collapse of the Open Skies Treaty, American-French discord concerning AUKUS, the termination of the official dialogue between Russia and NATO, and the migration crisis on the Polish-Belarusian border.
Over the past year, the Western countries seem to have been searching for new strategies. Since the end of 2019, NATO has been developing a new concept, and in June 2021 at the summit in Brussels, to the displeasure of sceptics, it was possible to agree on its basis—the transatlantic agenda NATO 2030 (# NATO2030) . While the broad formulations and a direct hierarchy of threats still require clarification, new projects in the field of weapons development, combating climate change, and increasing interoperability have already been declared.
In parallel, since the end of 2020, work has continued on the EU European Parliamentary Research Service project—the Strategic Compass. The dialectic between Atlanticism and Europeanism softened after Joe Biden came to power in the United States, but the European interests and red lines retain their significance for transatlantic relations. In 2022, together with the rotating post of the President of the EU Council, the role of a potential newsmaker in this area has been transferred to Emmanuel Macron, who feels very comfortable in it.
On December 9, the provisions of the Paris programme were published under the motto “Recovery, power, belonging” France, as expected, is reiterating its call for strengthening European sovereignty. The rhetoric of the document and its author is genuine textbook-realism. But now for the entire European Union.
Objectives of the French Presidency, are not articulated directly but are quite visible—making the EU more manageable and accountable to its members, with new general rules to strengthen mobilisation potential, and improve the EU’s competitiveness and security in a world of growing challenges.
Paris proposes reforming the Schengen area and tightening immigration legislation—a painful point for the EU since 2015, which has become aggravated again in recent months. This ambitious task has become slightly more realistic since Angela Merkel’s retirement in Germany. At least a new crisis response mechanism on this issue can be successful, even if it is not fully implemented.
In addition, the Élysée Palace calls on colleagues to revise the budget deficit ceilings of the Maastricht era to overcome the consequences of the pandemic and finally introduce a carbon tax at the EU borders. The latter allows for a new source of income and provides additional accountability for the implementation of the “green” goals by member countries.
The planned acceleration of the adoption of the Digital Markets Act (DMA) and Digital Services Act (DSA), developed by the European Commission at the end of 2020, is also aimed at unifying the general legislation and consolidating the European position in the world. In other words, the French Foreign Ministry quite soberly assesses the priority areas and vulnerabilities of the European Union and focuses on them, but with one exception.
A special priority of the French presidency is to strengthen the defence capabilities of the EU. On the sidelines, the French diplomats note that the adoption of the Strategic Compass in the spring of 2022, as originally planned, is a fundamental task, since otherwise the process may be completely buried. With a high degree of probability, this is so: the first phase of the development of the Compass—the general list of threats—lasted a year, and consisted of dozens of sessions, meetings, round tables with the involvement of leading experts, but the document was never published. If Macron won’t do it, then who will?
As the main ideologist and staunchest supporter of the EU’s “strategic autonomy”, the French president has been trying for five years to mobilise others for self-sufficiency in the security sphere. With his direct participation, not only the Mechanism of Permanent Structured Cooperation (PESCO) in the defence area was launched, where France is the leader in a number of projects, but also the so-far failed European Intervention Initiative. Even without focusing on French foreign policy traditions and ambitions, the country remains a major European arms exporter and a nuclear power, where the military-industrial complex is closely affiliated with the state.
Implementing the 2022 agenda is also a matter of immediate political gain as France enters a new electoral cycle. The EU Summit will take place on March 10-11, 2022, in Paris, a month before the elections, and in any case it will become part of the election campaign and a test for the reputation of the current leader. Macron has not yet officially announced his participation in the presidential race, but he is actively engaged in self-promotion, because right-wing politicians espousing different degrees of radicalism are ready to take advantage of his defeats to purchase extra points.
The search for allies seems to be of key importance for victory at the European level, and the French Foreign Ministry has already begun working on this matter. In 2016–2017 the launch of new initiatives was predetermined by the support of Germany and the Central and East European countries. The change of cabinet in Germany will undoubtedly have an impact on the nation’s policy. On the one hand, following the results of the first visit of the new Chancellor Olaf Scholz to Paris on December 10, the parties announced the closeness of their positions and a common desire to strengthen Europe. On the other hand, the coalition of Social Democrats (SDP) was made up with the Greens and Free Democrats (FDP) who are not at all supporters of excessive involvement in security issues. What “strategic autonomy” means for France, constitutes a more restrained “strategic sovereignty” for Germany Therefore, an intensification of dialogue with Italy and Spain, which are both respected and potentially sympathetic, is likely. The military cooperation agreement concluded in the autumn of 2021 with Greece, an active member of PESCO, can also help Paris.
Gaining support from smaller countries is more challenging. Although the European project is not an alternative to the transatlantic one, the formation of a common list of threats is a primary task and problem for NATO as well. As mentioned above, it is around it that controversy evolves, because the hierarchy determines the distribution of material resources. The countries of Eastern Europe, which assume that it is necessary to confront Russia but lack the resources to do so, will act as natural opponents of the French initiatives in the EU, while Paris, Rome and Madrid will oppose them and the United States in the transatlantic dialogue. The complexity of combining two conversations about the same thing with a slightly different composition of participants raises the bar for Emmanuel Macron. His stakes are high. The mobilisation of the Élysée Palace’s foreign policy is one of the most interesting subjects to watch in the year 2022.
From our partner RIAC
Unilateral vs Bilateral Euroisation: Political, technical and practical issues in the curious case of north Cyprus
The island of Cyprus has been split between a Greek Cypriot south and a Turkish Cypriot north since 1974. The Turkish Cypriot state declared in the north is recognised only by Turkey, while the Republic of Cyprus in the south is recognised internationally and is a European Union (EU) member since 2004. In 2004, 65 percent of Turkish Cypriots voted in favor of the United Nations’ Annan Plan for reunification only for Greek Cypriots to reject it. As a result, Cyprus joined the EU as a de facto divided island. Despite joining the EU as a divided island, the whole of Cyprus is considered an EU territory. However, the EU law is suspended in the north until reunification is achieved.
This resulted in the euro being the legal tender only in the southern part of the island. With the recent and continuous depreciation of the Turkish lira, the long-standing question of whether and how the north could switch to the euro has once again intensified. While a bilateral adoption of the euro is not on the cards until a reunification on the island, north Cyprus could technically unilaterally adopt the euro. However this could cause complications in the future as the EU is adamant that unilateral euroisation cannot be used as a mechanism by Member States to circumvent the stages foreseen by the Maastricht Treaty.
Under normal circumstances, “Member States with a derogation”, i.e. the Member States that have not yet fulfilled the necessary conditions for the adoption of the euro are first required to enter the Exchange Rate Mechanism (ERM II) to achieve eurozone membership. This is a “waiting room” where any country aspiring to adopt the euro is required to stay for at least for two years. It is now a well-known fact that the ECB shares the opinion of the Economic and Financial Affairs Council (ECOFIN), i.e. the meeting of the finance ministers of EU Member States adopted in 2000, that this requirement should not be waived. Assuming the northern part of Cyprus is considered a Member State, the same principle will apply and therefore it would not be welcome to adopt the euro unilaterally, bypassing the convergence process foreseen by the Treaty for the adoption of the euro.
Currently, ERM II comprises the currencies of Bulgaria, Croatia and Denmark. Just like these countries, north Cyprus would be expected to peg its national currency to the euro and, given the consent of the European System of Central Banks, fixe a “central exchange rate” and a “deviation margin” under Exchange Rate Mechanism (ERM II) for a duration of no less than two years. If successful based on its ERM II performance, a final exchange rate would be determined and the redenomination would be done over a transition period.
In the case of north Cyprus, it is understood that the EU might have already agreed to apply a fast track approach where there would be a one-year transition period. However, this has not been confirmed officially by the EU so the EU’s stance in practice is not known. After all, even Denmark, a Member State which has negotiated an opt-out arrangement before the adoption of the Maastricht Treaty has been participating in ERM II although it chose not to adopt the euro. So the EU’s approach in the case of northern Cyprus would not expected to be too lenient. There is no way to find out unless north Cyprus continues the dialogue with the EU.
In the meantime, a more relevant question is whether a unilateral euroisation could be possible. The short answer is yes. For instance the euro was introduced in Kosovo and Montenegro that did not have a status of a sovereign state at the time. In both cases, the decision was made in 1999. Kosovo, defined the Deutsche Mark as the designated currency, which was replaced by the euro in 2002. Similarly, Montenegro introduced a parallel currency system in 1999, in which the Deutsche Mark was allowed to circulate alongside the then legal tender. In 2001, the Deutsche Mark became the only legal tender and was replaced by the euro in June 2002.
In the case of Montenegro, now an official EU candidate, the adoption of the euro without an agreement with the European Central Bank (ECB) was acknowledged by the European Commission as a measure which had to be taken due to “extraordinary circumstances” present in the country at the time. This could be precedent for north Cyprus. However, it is important to note that the ECB still supports the view that unilateral euroisation is not compatible with the Maastricht Treaty and cannot be a way to bypass the convergence process.
The implications of the Treaty framework for in the case of Montenegro currently remain unknown and are expected to be detailed “by the time of possible future negotiations for accession to the EU”. In particular it remains uncertain whether the country would be required to introduce its own currency before it can join ERM II. Should this be the case as Montenegro makes further progress towards EU membership, this would entail substantial operational and changeover costs. Authorities in north Cyprus, should therefore monitor the developments very closely.
Normally, non-euro area Member States are denied the option of unilateral euroization due the principle of equality, i.e. the EU considers bypassing the convergence process incompatible with the EU Treaty and actively discourages it.In particular, the Treaty sets out that there has to be a Community assessment of the fulfilment of these criteria and mutual agreement on the appropriate exchange rates. This means that the ECB does not welcome unilateral euroisation, as such an adoption of the euro outside the Treaty process would run counter to the underlying economic reasoning of European Monetary Union.
However, as north Cyprus is already an EU territory the adoption of the euro could be considered a “common interest of the EU” and therefore an exception could be possible. In fact, the policy of the EU with regard to the Turkish Cypriot community which was set out by the General Affairs Council in 2004 states that “the Council is determined to…facilitate the reunification of Cyprus by encouraging the economic development of the Turkish Cypriot community”. So in the case of north Cyprus, a switch to the euro could be allowed by way of exception although this would obviously imply circumventing the process of multilateral assessment by the EU Member States.
While the EU could give the green light to adoption of the euro by north Cyprus without a successful exchange-rate procedure under ERM II, it would not allow this to undermine the process of convergence prior to the adoption of the euro. In other words, the Convergence criteria outlined in the Maastricht Treaty would still remain relevant and important as the Treaty requires Member States to achieve a high degree of sustainable economic convergence before they can join the euro area.
In other words the economies of Member States with a derogation must be able to keep pace with those already using the euro. Exchange rate stability, for instance, is evaluated by assessing whether the exchange rate of the country’s currency has remained within the fluctuation bands provided for by ERM II for at least two years without devaluating against the euro.
Besides exchange rate stability, the convergence criteria also include price stability, sound public finances, and convergence in long-term interest rates. This means, for instance, that a country’s long-term interest rate, measured on the basis of long-term government bonds or comparable securities, should not exceed that of the three best-performing Member States in terms of price stability by more than 2 percentage points during the one-year observation period prior to the assessment.
On the other hand, a country is considered to meet the price stability criterion if its average inflation rate does not exceed the inflation rate of the three best-performing EU Member States by more than 1.5 percentage points during a one-year observation period. These criteria are intended to ensure the sustainability of public finances and that the government is able to manage its debts.
Article 140 (1) of the Treaty on the Functioning of the European Union (TFEU) requires the European Commission (EC) and the European Central Bank (ECB) to report to the Council, at least once every two years, or at the request of a Member State with a derogation on the progress of the country in fulfilling their obligations regarding the achievement of economic and monetary union. In addition to preparing these “Convergence Reports”, both the ECB and the Commission regularly monitor progress throughout the year.
A Convergence Report is normally published at least once every two years or at the request of an EU Member State which would like to join the euro area. Both the ECB and the European Commission issue these reports describing the progress made by non-euro area Member States towards achieving the criteria necessary for a country to adopt the euro. According to the latest report, among countries legally committed to adopting the euro, Croatia and Sweden fulfil the price stability criterion, Bulgaria, Czechia, Croatia, Hungary, Poland and Sweden fulfil the criterion on public finances, Bulgaria, Czechia, Croatia, Hungary, Poland and Sweden fulfil the long-term interest rate criterion. However none of them meet all the requirements for adoption of the euro. So convergence process is very strict and challenging.
In particular, it should be noted that convergence must be sustainable, meaning that satisfying the economic convergence criteria at one point in time is not enough and they are expected to be met on a lasting basis. A Member State’s general financial position is considered sustainable based on two criteria, namely, the government’s annual fiscal deficit should not exceed 3% of gross domestic product, and overall government should not exceed 60% of gross domestic product. This is very important for northern Cyprus as it will need to ensure that its economy is resilient.
It is known that the Maastricht Treaty provides some flexibility and the final assessment depends on the ECOFIN Council. Whether and how this would apply in the case of northern Cyprus remains a mystery. While details remain unknown to the public, the one-year transition period envisaged in the case of northern Cyprus could be related this. However, it should be noted that the decision on whether north Cyprus can adopt the euro would ultimately be a political one and would lie with the Council of the European Union. This means that representatives from all EU countries would be required to take a decision based on a proposal by the EC and after consulting the European Parliament.
Given that participation in the ERM II is a precondition for as well as fulfilment of the nominal convergence criteria to join the euro, it is binding and is unlikely to be waived for any country regardless of any special circumstances. This is because ERM II provides the framework to manage the exchange rates between EU currencies, which is necessary for exchange rate stability. As such north Cyprus would be expected to participate in the mechanism without devaluing its central rate against the euro before it can qualify to adopt the euro.
While no provision of the EU Treaty states explicitly that Member States with a derogation must have their own currency, the Treaty is by and large based on this assumption. In addition, the entry into ERM II is decided by mutual agreement of all ERM II parties, which consist of the ministers of the euro area Member States, the President of the ECB and the minister and the central bank governor of Denmark, as the only non-euro area Member State currently participating in the mechanism.
So in the case of north Cyprus adoption of the euro could mean that the country should first introduce its own currency. This could be a more viable alternative and north Cyprus could then peg its currency to the euro as a preparation for an eventual switch to the euro. Indeed, some countries joined ERM II with their preexisting currency pegs. To give a recent example, the currencies of Bulgaria and Croatia were already closely tied to the euro at the time of applying to the ERM II. Bulgaria had a currency board, first with the Deutsche Mark, and subsequently with the euro after 1999. Croatia had a peg first with the Deutsche Mark, and from 1999 to the euro, with a narrow band.
During this process, legal requirements should not also been underestimated. Article 140(1) of TFEU requires the convergence reports to assess the compatibility of national legislation, including the statutes of the national central bank and the Statute of the European System of Central Banks and of the ECB. There could also be additional unprecedented requirements and countries may be required to commit to implementing specific policy measures on a variety of topics. For instance, in the case of Bulgaria and Croatia, such requirements range from the anti-money laundering framework, state-owned enterprises and the insolvency framework, to the non-banking financial sector, corruption and even organised crime. It is highly unlikely that the national legislation in north Cyprus is currently compatible with that of the EU as the latest convergence report suggests that the respective national legislations in none of the seven new EU Member States would be deemed “fully compatible” with the exception of Croatia.
In fact, the former north Cyprus President Mustafa Akıncı himself had confessed that “serious work” would needed to ensure the harmonization of the national institutions with the EU acquis. As can be seen in the case of Croatia and Bulgaria, this has now become a prerequisite not only for joining the EU but also in terms of adopting the euro as a new Member State. For instance, this was the main reason behind the delay in Bulgaria’s acceptance to ERM II. Bulgaria was able to get the green light to join ERM II two years after it formally announced its intention to join the mechanism.
The delay was due to the requirement imposed by the Eurozone governments requiring Bulgaria to join ERM II and the Banking Union simultaneously. This prerequisite is known as “the Cooperation Decision” and requires Member States which adopt the euro to also participate in the Banking Union, i.e. the Single Supervisory Mechanism (SSM), the Single Resolution Mechanism (SRM) and the Single Resolution Fund (SRF). . Therefore, participating in ERM II with a view to later adopting the euro will also involve preparing for joining the Banking Union.
This requirement will now apply to all future candidates including north Cyprus. However, it should also be noted that the procedure for entering the Banking Union is separate from the assessment of the convergence criteria. Joining the Banking Union is irreversible and involves direct powers of the SSM and the SRM over its banking system. This has important implications for the banking sector as banks that will come under the direct supervision of the ECB will also be subject to the direct supervision of the Single Resolution Board (SRB).
To be more specific, this means that, the ECB will become responsible for the direct supervision of the significant credit institutions following the “significance assessment process”. This applies to banks considered to meet the “materiality criteria” as set out in the SSM Regulation (Regulation 1024/2013) and the SSM Framework Regulation (Regulation 468/2014). The criteria include “economic importance for the country” so could technically apply to banks in north Cyprus despite their insignificant sizes in comparison to the EU economy. Therefore, for new joiners like north Cyprus the accession process would involve not only the harmonization with the aquis but also the strengthening of their institutions and administrative capacity that will enable them to implement and monitor the enforcement of the harmonized legislation.
Therefore, adoption of the euro by north Cyprus, bilaterally or unilaterally, would not be as easy as it may look. More than anything else, this would require political will, courage and determination. The former President Mustafa Akıncı, a devoted supporter of a federal solution and the EU, had set an ambitious target of the euro going into circulation “from the first day” in the case of a reunification. However with the failure of the last reunification talks in 2017 in Crans Montana, Switzerland, political conditions have changed dramatically. The current President Ersin Tatar who is a very passionate proponent of the two-state solution is wholeheartedly against the EU and the euro. Therefore, the general stance towards the adoption of the euro in the northern part of the island remains fragmented. Given these circumstances, adoption of the euro in north Cyprus seems a distant prospect.
How Red Are the EU’s ‘Greens’?
Blood-red. But that’s a banned fact. (It will be documented in what follows.)
Here are the announced values (the “Guiding Principles”) of the European Green Party:
“Freedom through Self-Determination”
“Diversity, an Indispensable Condition”
“To sum it up, Sustainable Development”
This “Charter of the European Greens” fills-in those blanks by stringing together clichés, which 90% of the pubic will like, because they’re written so as to avoid (as much as possible) saying anything that’s broadly controversial. For example, “Our answer is sustainable development, which integrates environmental, social and economic objectives for the benefit of all.” (Oh? And how is that pap to be realized in actual policies? What are the measures, and the precise priority-rankings, when any of those values conflict with one-another, which is often?) The Green Party is simply conning liberals, but what is their reality? What are they actually doing, when in power? Inside their own country, and in the EU? Let’s take a very concrete (but broadly representative) case:
Germany, as I recently pointed out, is so corrupt that it has virtually no bans on who or what may donate to politicians. Foreign interests can donate, corporations can donate, even corporations that have government contracts (sell to the government) can donate, donations needn’t go through the banking system, donations may be accepted in any amount, anonymous donations are acceptable, etc. It’s super-libertarian. It is open-sesame to billionaires and centi-millionaires (the few people who have the most money) to control the Government by means of their ‘news’-media persuading the voters, and by means of political campaign donations to present the billionaires’ favored candidates’ viewpoints in the most favorable way — and their least-favored candidates in the least favorable way. It’s control by dollars, instead of control by voters. That’s libertarianism.
A March 2015 academic study showed that, of all 28 EU member-nations, the only five that were more corrupt than Germany were Malta, Austria, Denmark, Ireland, and Netherlands. Then, on 10 June 2015, a Pew survey in Germany, Poland, Spain, France, Italy, UK, U.S., and Canada, showed that, among those 8 countries, ONLY Germany (and by a big margin: 57% to 36%) opposed Ukraine joining NATO. However, when German and foreign billionaires s‘elected’ the new German Government that became installed on 8 December 2021, it appointed as the Germany’s new Foreign Minister the Green Party’s losing candidate for Chancellor, Annalena Baerbock, whose entire career as a candidate and as an official was the most notable for her strident advocacy for hostility toward Russia, and for Ukraine to be admitted into NATO (the anti-Russian U.S. military alliance). She thus became — though she lost her campaign for the Chancellorship — the most powerful Green Party politician in Europe or anywhere.
Immediately, she reversed Angela Merkel’s policies which had allowed the Russian-Swiss-German natural gas pipeline from Russia to Germany, Nord Stream 2, to be constructed to bring into the EU the least expensive of all gas to Germany, which is Russia’s pipelined gas. Gas-prices in Germany are now already soaring, and Germans will increasingly freeze, as a result of this ‘German democracy’ and its obedience to its billionaire masters in America.
However, many European billionaires are also being served by this ‘Green’ Party. Much like America’s Democratic Party (or liberal) billionaires, Europe’s liberal billionaires have been investing heavily in ‘green’ technologies, and are betting against their opposition, conservative billionaires, who are still committed to fossil fuels. So: the ‘Green’ Party represents liberal billionaires, against conservative billionaires.
On 8 September 2021, “Capital Radar” newsletter bannered “‘Most important choice for the next 100 years’: 1.25 million euros from the Netherlands for the Greens” (“„Wichtigste Wahl der nächsten 100 Jahre”: 1,25 Millionen Euro aus den Niederlanden für die Grünen”) and reported that:
• A Dutch tech billionaire donates 1.25 million euros to the German Greens.
• It is the largest donation in the party’s history.
• In an interview with RND, the major donor explains why Annalena Baerbock should steer the ship of state and why the federal election is so important.
Amsterdam. The Dutch entrepreneur and philanthropist Steven Schuurman [archive.md/ZjwWW] donated 1.25 million euros to the German Greens. It is the largest donation in the party’s history. Billionaire Schuurman, born in 1975, is co-founder and ex-head of the data search and analysis company Elastic and co-founder of Atlantis Entertainment. He has already donated millions in the Dutch election campaign.
The Greens have already received large sums of money this year: the pharmaceutical heir Antonis Schwarz [archive.md/COcng] bequeathed them 500,000 euros; the Greifswald Moritz Schmidt, who got rich through Bitcoin deals, one million euros; and Sebastian Schel’s net heir, 250,000 euros. The election program for the federal election states: “Party donations should be capped at an annual maximum amount of 100,000 euros per donor.” [But Germany has separate laws for candidates, and no limits are placed on donations to them.]
Schuurman was quoted as saying that, of the three candidates for Chancellor, only Baerbock took global warming seriously. He ignored the more pressing and sooner danger of avoiding a nuclear war, on which Baerbock’s policy-commitments are rabidly anti-Russian. No U.S.-and-allied billionaires — either liberal or conservative — are opposed to that. But those policies are blood-red, and now.
At the level of the EU itself, the most powerful person over the entire European Union has been a lifelong hater of Russia, the American billionaire George Soros, who controls the Open Society Foundation and other ’non-profits’ that have poured billions of dollars over decades (starting in 1993, just two years after his self-declared war against communism in Russia had become no longer an excuse when Russia abandoned communism in 1991) into color-revolutions targeted against Russia. On 5 November 2017, Alex Gorka at Strategic Culture, headlined “The Myth of European Democracy: A Shocking Revelation”, and opened:
It’s an open secret that the “Soros network” has an extensive sphere of influence in the European Parliament and in other European Union institutions. The list of Soros has been made public recently. The document lists 226 MEPs from all sides of political spectrum, including former President of the European Parliament Martin Schulz, former Belgian PM Guy Verhofstadt, seven vice-presidents, and a number of committee heads, coordinators, and quaestors. These people promote the ideas of Soros, such as bringing in more migrants, same-sex marriages, integration of Ukraine into the EU, and countering Russia. There are 751 members of the European Parliament. It means that the Soros friends have more than one third of seats.
George Soros, a Hungarian-American investor and the founder and owner of Open Society Foundations NGO, was able to meet with President of the European Commission Jean-Claude Juncker with “no transparent agenda for their closed-door meeting.”
Many but not all of his agents at the European Parliament are Greens. U.S.-and-allied billionaires donate to all politicians that are ready, willing, and able, to advance the U.S. empire to encompass the entire world, and don’t donate to just to one Party.
Soros was a major funder of the coup-operation that started in the Obama Administration (led by Victoria Nuland under Hillary Clinton) by no later than June 2011 to overthrow Ukraine’s democratically elected President, Yanukovych, and replace him by a racist-fascist (or nazi) anti-Russian regime and to seize Russia’s largest naval base, which was and is in Crimea, to turn it into a U.S. naval base. (Putin was able to block the latter attempt.) Hillary and Obama had first met with Yanukovych in 2010 and failed to persuade him to push for Ukraine’s NATO membership in NATO, but he said no — NATO then was very unpopular among Ukrainians. During 2003-2009, only around 20% of Ukranians wanted NATO membership, while around 55% opposed it. In 2010, Gallup found that whereas 17% of Ukrainians considered NATO to mean “protection of your country,” 40% said it’s “a threat to your country.” Ukrainians predominantly saw NATO as an enemy, not a friend. But after Obama’s February 2014 Ukrainian coup, “Ukraine’s NATO membership would get 53.4% of the votes, one third of Ukrainians (33.6%) would oppose it.” Obama turned Ukraine around — from being a neutral country on Russia’s border, to being a nazi anti-Russian country. And Annalena Baerbock is a strong backer of today’s nazi Ukraine.
However, the ‘Green’ Party is green in one way: it follows the dollars, not the voters. Other than that way of being green, it’s really only blood-red. Even the ‘Green’ Party’s proposed policies against global warming are futile to prevent global burnout, and they ignore the only policy that, even conceivably, might halt global warming: to outlaw the purchase of stocks and bonds of fossil-fuel-extraction companies. So: they are total fakes. The response of billionaires is to bet either for crackpot business-ventures to halt global warming, or else for extending yet further into the future the use of mainly fossil fuels and ignore even the pretense of caring about the welfare of the generations yet to come. In other words, all billionaires, both liberal and conservative, are really only blood-red, for expanding yet further their empire, in the final analysis.
This doesn’t come from what the voters want; it reflects ONLY what the billionaires want. Here are some data showing that despite all the billionaires’ propaganda for expanding yet further the U.S.-and-allied empire, a majority in some countries — including Germany — don’t want it:
Only Germans “oppose Ukraine joining NATO”: 57% to 36%
“Ukraine Joining EU” opposed by Germans 54% to 41%, opposed by French 53% to 46%
“Oppose Supplyiing Ukraine with Arms Against Russia: Germans 77% to 19%, French 59% to 40%, Italians 65% to 22%.
In 2013, the median favorability of Russia in the EU was 37%; by the time of 2015 it had become 26% — 26/37 or 30% less than only two years earlier, which is to say prior to
Obama’s having grabbed Ukraine in a very bloody U.S. coup. (Obama was the most successful heir to Hitler since WW II, and was especially successful in jeopardizing the national security of the Russians by grabbing Ukraine on Russia’s border and intensifying the anti-Russian military alliance, NATO, whereas Hitler’s attempt to conquer Russia had turned out to be an colossal failure.)
So, Baerbock — the most powerful ‘Green’ politician in Europe, and even anywhere, though she had failed at the ballot-box — gets here hate (against Russia), her warmongering, not from the voters, but from the sheer cravings of U.S.-and-allied billionaires, to expand their U.S.-and-allied empire, to encompass the entire world. That’s what she (and many Green Party politicians) push for the most.
The ‘Greens” are actually blood-red, for war.
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