European Union leaders want to broaden an upcoming summit on reforming the world’s financial system by inviting the major emerging economies of China and India to take part. They are also keen to have Brazil, South Africa and Mexico take part.
France’s Nicolas Sarkozy, the current holder of the EU rotating presidency, told the European Parliament that global financial institutions have to be boosted and cross-border regulation improved.
He said: “Europe must be the standard bearer for the idea of reforming world capitalism. What has happened is an act of treason against the values of capitalism, it is not a result of the market economy,”
Sarkozy’s report to the European Parliament on where we stand with regard to the financial crisis received a predictably scathing response from veteran left winger Daniel Cohn-Bendit.
He called for: “A little bit of self-criticism from an former French finance minister, a little bit of self-criticism from this Commission which one year ago was still refusing any European regulation on financial flows; that would be more credible in dealing with the future, anyway! I don’t believe what I’m hearing!”
Sarkozy also spoke to the Strasbourg parliament about Europe’s role in the conflict between Georgia and Russia over South Ossetia.
He said: “Europe brought about peace. Europe has brought about withdrawal of these occupying troops. And Europe has brought about international dialogue. It seems to me it that it is a long time since Europe has played such a role in a conflict of this nature”.
Sarkozy said “Russia’s reaction in the conflict was disproportionate,” but he also criticised the Georgians.