An interview with Prof. Dr Jakob Lempp, Professor of Political Science specialising in International Relations at the Faculty of Society and Economics, on the coronavirus and the role of the European Union during this time of crisis.
Why have the responses to the spread of the novel coronavirus in Europe been so varied?
Indeed, the Member States of the European Union are responding to the spread of the coronavirus with measures that vary considerably in some cases. Some countries, such as Sweden or Latvia, have imposed only relatively minor restrictions on public life; others, such as Greece, France or Italy, are taking much more drastic action. The main reason for this is that health policy does not, for the most part, fall within the European Union’s sphere of competence. Health policy continues to be shaped primarily at national level; the EU can only make recommendations or provide support in this area. The division of competences between the EU and the Member States is set out in the Treaties on European Union. Specifically, Article 168 of the Treaty on the Functioning of the European Union stipulates that, in the field of public health, the EU ‘complements’ the policies of the Member States and ‘promotes’ cooperation between them, for example by drawing up ‘guidelines’. The Council of the EU may, on a proposal from the European Commission, only issue ‘recommendations’, and Member States’ responsibility for their respective health policies must be upheld. This means that the key players in European health policy are the national governments, not the EU.
Has the European Union done nothing to curb the spread of the coronavirus in Europe?
Yes, it has! For example, a crisis task force headed by Commission President Ursula von der Leyen was set up as early as mid-March to coordinate the European response to the coronavirus and to develop guidelines – which it has indeed done. Among other things, the EU is involved in repatriating EU citizens from abroad, drawing up guidelines on testing, jointly procuring personal protective equipment and ventilators, and supporting research into vaccines, diagnostic tools and treatment methods. However, the European Union’s role in this context is most significant in relation to measures designed to cushion the economic impact of the ‘lockdown’.
What measures are these?
In total, the EU’s aid package amounts to approximately 3.3 trillion euros, with these funds coming from a wide variety of sources. This aid encompasses a wide range of measures, from liquidity support for small and medium-sized enterprises to a crisis programme under the European Stability Mechanism (ESM). The European Central Bank (ECB) has established a pandemic emergency purchase programme worth 750 billion euros. Furthermore, under the so-called ‘escape clause’, the EU is allowing greater flexibility in the management of Member States’ budgets. It certainly cannot be said, therefore, that the EU is doing nothing at all.
What is the dispute over the so-called ‘coronabonds’ about?
Some EU Member States have been particularly hard hit by the consequences of the coronavirus crisis, such as Italy and Spain. These countries now have to take on debt in order to cope with the crisis. The interest rates on these loans vary between EU Member States because investors assess the risk of default differently depending on the country. The idea behind so-called ‘coronabonds’ is that, to tackle the coronavirus crisis, EU Member States should, at least temporarily, borrow money jointly on the financial markets. Some countries that are already heavily indebted and have now been hit hard by the coronavirus crisis could, in this way, obtain funding on more favourable terms. It would also be a symbolic way of showing that the nations of Europe are standing together during the crisis and supporting one another in a spirit of solidarity. Other countries, such as the Netherlands and Germany, are critical of this idea, as they fear they will ultimately be held jointly liable for other countries’ loans.
Will Europe emerge from this crisis stronger or weaker?
Of course, no one can predict that at this stage. I see both risks and opportunities. In the worst-case scenario, the eurozone and the European Union could collapse as a result of this crisis. But times of crisis have always been times in which the European Union has grown. Jean Monnet, one of the founding fathers of the EU, once said: “Europe is born of crises and is the sum of its triumphs over them. People only accept change when they are faced with necessity, and they only recognise that necessity in a crisis.”
