Now that the Brexit vote is over the IMF radically changed its tune.
Ahead of the vote IMF head Christine spoke of a “prolonged period of uncertainty.” Now the IMF sings praises of opportunities to come.
Please consider Lagarde says Brexit will Give EU More Freedom for Reform.
Christine Lagarde, the head of International Monetary Fund, has expressed optimism that Europe will emerge from the Brexit crisis “on top”, saying Britain’s exit from the EU could leave the bloc with more freedom to implement decisions.
Ms Lagarde suggested the UK’s vote last month to leave the EU left European leaders with greater flexibility to carry out reforms and move ahead with projects the UK had previously opposed.
“I have heard European commissioners, one after the other, say, ‘this is so complicated, we can’t do it because of the British’,” she said. “Maybe there are things that one should consider doing now that the British aren’t going to be sitting at the table.”
“I believe Europeans will come out of Brexit on top,” she added
The IMF has previously warned that Brexit could trigger a “prolonged period of uncertainty,” and called on the UK and EU to work towards a “smooth and predictable transition”.
Freedom to Reform
Hooray, with those nasty British out of the way, at long last the EU is free to reform.
They can start by booting Jean-Clause Juncker and scrapping thousands of nannycrat rules.
But let’s stop pretending it was the UK holding back reform. It was Chancellor Angela Merkel on immigration rules and France on agricultural rules. Jean-Claude Juncker wants a United States of Europe, complete with its own army.
On June 30,I noted Four Countries Blame Jean-Claude Juncker for Brexit, Two Seek His Ouster.
Key Ideas
- Poland, Hungary, Slovakia and the Czech Republic issued a joint statement “The genuine concerns of our citizens need to be better reflected. National parliaments have to be heard.“
- Poland and the Czech republic want Juncker booted.
- Governments in Warsaw, Budapest, Prague and Bratislava say powers should be repatriated to national capitals to make the EU more democratically accountable.
- “No one believes in the United States of Europe” said Poland’s deputy prime minister Mateusz Morawiecki.
- “Our voice is the voice of reason,” said Morawiecki, “as for many years the British voice was the voice of reason.”
- Czech prime minister Bohuslav Sobotka has said the overall functioning of the EU and the commission should change.
- Robert Fico, the Eurosceptic premier of Slovakia — which takes over the EU’s rotating presidency this week — has offered to host an exceptional summit to discuss the bloc’s future shape. “If somebody thinks we can offer to the European public what we give it now after Brexit, they are mistaken,” said Fico.
Certainly, getting rid of Juncker constitutes reform, but somehow I doubt that is what Largarde had in mind.
And note Poland’s deputy prime minister Mateusz Morawiecki called the UK a “voice of reason“.
Apparently, now the the “voice of reason” is gone, the EU can reform.
Lagarde is more delusional than ever.
Mike “Mish” Shedlock
The EU may not end up being on top but it is likely to move even further to the right and certain to move backward.
But the British haven’t gone. Teresa May, leading candidate for Prime Minister, said she didn’t expect to invoke article 50 until December. Might be better to form a disaffected bloc within the EU and have the self confessed liar Junker so desperate for us to go that he puts together a nice little package to tempt us out.
How does one enhance public perception…..lie.
“Lagarde is more delusional than ever.”
My opinion is that she’s figured out if the EU breaks up, her job, income and status will be lessened. So the rational approach is to say Brexit is a GOOD thing and encourage a “reform” (even if it is a reform in name only) which will possibly placate some of the unhappy countries and possibly delay the inevitable a little longer. Am I cycnical? Yes. Why? Experience.
I see chaos and violence ahead . EU is out of credibility and national politics across Europe are a mess .
One more tragedy of the commons.
There is no way the ECB can bailout the Italian Banking system. The same I imagine is true of Spain. There is no way “bail ins” are an option either…so that leaves the IMF in my view. The Italian Banking system has collapsed by the way. They are going to need to raise trillions of euro’s in Capital starting right now…as in “few hours.” So that means no matter what happens the World will be flooded with Euro’s no matter what…just as the World was flooded with US Dollars in 2008.
How can the EU possibly have a “Better Opportunity for Reform” when they are a net exported to the UK? How is it better for those Europeans who won’t be hired, or will be losing jobs?
“Now that the Brexit vote is over the IMF radically changed its tune.”
That is because before the vote, they were peddling fiction.
Poland, Hungary, Slovakia and the Czech Republic issued a joint statement “The genuine concerns of our citizens need to be better reflected. National parliaments have to be heard.“
In an EU there are no national parliaments. Brussels is the national parliament. Nations do not exist anymore, just the EU. Poland, Hungary, Slovakia and Czech Republic exist no more. They are reduced to the status of Delaware, Illinois, Missouri, or Arizona.
Ha Ha!!! No one is even pretending that the IMF is anything other than a bunch of European political rejects. Most of the world started their own funding organizations rather than submit to Euro fascism.
No one believes the IMF anymore — not in developing countries and not in the G7
So unsurprisingly Great Britain has announced a massive tax cut and an end to trying to close the budget and trade deficits. The most obvious next step is for Britain to set itself up as a tax haven of some sort with a legal code akin to Delaware but the ability to print its own money. Money backed by “full faith and credit” I might add.
No wonder silver is soaring in value. There is no “European Banking system” so how will Europe compete? To me the odds favor a return to national currencies.