It is a momentous day for the European Central Bank as it launches full-scale government bond buying. Mr Draghi started speaking at 13.30 GMT and the press conference usually lasts for an hour.
By Ralph Atkins and Lindsay Whipp
France has been through a traumatic period following a spate of terror attacks that killed 17 people, which led to a wave of demonstrations by millions of defiant citizens in response. In the latest edition of the FT World Weekly podcast, Gideon Rachman is joined by Hugh Carnegy, a former Paris bureau chief, and Michael Stothard, one of the FT correspondents who covered the aftermath of the attacks, to assess the wider impact of the events and discuss whether France can ward off the forces of polarisation.
Within twenty years of the end of the second world war, the same European countries that had been sworn enemies during six years of bloody conflict committed themselves to a future of peace, prosperity and political and economic integration.
Some war crimes suspects slipped the net and avoided the Nuremberg trials, but their elusiveness did not interrupt or discredit the reconciliation process led by West Germany and France.
But two decades on from the wars that ripped apart the former Yugoslavia, it is impossible to make the case that reconciliation and integration are as advanced there as they were in western Europe by the mid-1960s.
The region’s societies, ethnicities and political leaderships remain bitterly at odds over how to assess the war crimes committed in Croatia and Bosnia-Herzegovina between 1991 and 1995.
By Gideon Rachman
A couple of days before the terrorist attacks in Paris, a book arrived at my office. I placed What’s Wrong with France? by Laurent Cohen-Tanugi on the shelves, alongside a line of similar titles: France on the Brink, France in Denial, France in Freefall and France’s Suicide.
The central bankers, past and present, who met in Paris on Friday have collectively pumped tens of trillions of dollars into financial markets and are widely applauded for staving off a global financial meltdown.
But the crowd of star monetary policy makers at the Banque de France’s conference were clearly peeved that since 2008 they have, in their own words, become the only game in town.
Over the past two week, the Bank of Japan upped its bond purchases to a staggering 15 per cent of gross domestic product a year and the European Central Bank signalled a €1tn balance sheet expansion. Yet the policy makers who helped pass those measures, which included governor Haruhiko Kuroda and members of the ECB’s governing council, played down the impact these waves of cheap cash will have on the economy. Read more
Europe’s budget wrangles
Gideon Rachman is joined by Peter Spiegel, Brussels bureau chief, and Tony Barber, Europe editor, to discuss the threat that the European Commission will reject the budgets of some of Europe’s biggest nations, in particular France and Italy. Is such a move really possible and what would be the political and economic consequences?
Speaking on television earlier this year, Manuel Valls, the French prime minister, declared that his government’s budget would not be written to “satisfy Brussels”, adding – “We are a great nation . . . France is a sovereign country.”
Sarkozy returns to frontline politics
With President François Hollande languishing at record lows in the polls, former president Nicolas Sarkozy has announced that he plans to return to frontline politics, which almost certainly means a view to running for the presidency in 2017. Gideon Rachman is joined by Hugh Carnegy, Paris bureau chief, and Tony Barber to discuss his prospects.
For the past twenty years, I’ve spent every summer in the same village in South-West France. It is a beautiful place which would be a candidate to be a World Heritage Site in many other countries – but is just another rural village in France. The village (which I won’t name, to avoid embarrassing anyone) has also always seemed blessedly immune to the world’s troubles. You could sit in the local cafe and read all about the problems in the wider economy, or political turmoil in Paris - but it all seemed rather abstract, and a long way away.
This year, however, the mood had changed. The economic, social and political problems afflicting the country seemed all too real – even in la France profonde. Read more
As François Hollande’s socialist government has taken a distinct turn to the right under Manuel Valls, his reformist prime minister, many have questioned the role of Arnaud Montebourg, champion of the left, fierce critic of globalisation and scourge of corporate bosses, both French and foreign.
Rumours have circulated in the French media that Mr Montebourg, promoted to economy minister when Mr Valls was appointed at the end of March, might soon quit the government to position himself for a potential presidential tilt in 2017 if Mr Hollande fails to recover from his current rock-bottom ratings. Read more