in flux and with a potential banking crisis on its hands it can use all the help from the e.u. it can get but will roll finding problems in brussels minister for here a piano ferrous sound or gutsy is with me today to talk about all of this. within hours bickering over refugee quotas failing austerity measures and a rising tide of euro skeptic nationalism that's already resulted in the u.k. secession the european union project is bracing for a turbulent and testing future and this is a reform starting time before another crisis hits the european powers here the calls of poor states and the ambition of the continental union and do another sixty years. is minister for european affairs sandra garth c. welcome to the show great to have you with us and as you got to the euro experiment has failed at least that's what noble economist joseph stiglitz s so are it stays

number no i disagree seeing that you will experiment you are always in reality and i do not think it is certainly the eurozone and the government of the eurozone must be must be shaped up or about we have to go into you know towards their action not going backwards. now you were talking about reform right every time i heard you talk and gave interest to talk about reform but every year a zone state has its own interests at heart so why is anybody going to listen to what rome is saying right now. well i mean it is it is it is true that the debate on the eurozone and the debate on how to reform the eurozone as being postponed many times but i do believe that in the second half of this year the time will be ripe to open the debate to be after the french elections have to be after the german elections and i do believe that everybody agreed that we must complete and

you must bet the shaper the economic and monetary union and these also a commitment which was taken in rome when the. leader of the twenty seven member states met. there on the correlation last twenty fifth of march they clearly say we must complete the economic and monetary union which translated in war. must seem that war means we must open the debate on how the euro is run but why wait till the french and german elections don't you think it's a little bizarre that the issue here as a reform has been brought up right now. or hasn't been brought up as of yet maybe people don't have courage to germany why did they only get the courage to talk about this now. we found the chorus to don't seem to be one of the reins of government so we have been talking about these at least since.

the beginning of march or twenty fourteen and we have a thing we have obtained some improvement we hope they in an investment plan at european level of the so-called you plan. more intelligent or at least less stupid implementation of the stability and growth pact drools towards. so some important step by been taken. to. reform the eurozone you need a commitment of other partners and so far it has always been postponed now as it is a fundamental issue which is going to be debated also in the general election which has been to be debated during the french election we do believe that there will be a new political phase. and in this political. issue number one must be reform of the eurozone so we think that the time has come at the end at

least at the end of this year so they have america's national trade council peter navarro called a hero and implicit deutschmark that's a quote to say now give germany unfair advantage over others at this point. i do believe that the. single currency and the single market. benefit for everybody certainly. are shifting all the rules during the cries you seen the financial crisis. being favorable to some down to the most favorable to other countries i do believe the south of germany has benefited from a very strict implementation of the growth back through a benefited also from the austerity policies i do believe that we must on the page we have started that there is a new role played by the rupee uncensored bank with the quantity of easing with the

new monetary stance stance of the european central bank and we must the best way our german friends who we invest more domestically and to rebalance a trade which is unsustainable and which is also has been pointed out by the rupee and commission in the last report on germany these are open issues and we must discuss about this issues so he has sat it depends from country to country and water had on it i have read this financial reporting new york times on italy a very thorough report and the numbers seem quite sad i mean is it worth keeping the euro in italy if in fifteen years of having it as a currency it has failed to improve its lives economy i mean growth has been literally zero and a condom is competitiveness as an export or has deteriorated. but i do not i do not take the air if you meant that you are putting on the table i do not think

that the euro has been a failure i do not think that many problems that we have to address in italy derive from europe and this they do i do believe that if you take a cost benefit analysis the cost there would be much higher than the benefit if it ever decided to leave the euro the point is not to leave a stable currency the point is that on the italian side do not waste time and entirely as wasted as wasted too much time since the beginning of the two thousand we must speed up day reform which are needed for the italian economy notwithstanding that our membership of the eurozone we must we have started with the n.t. government we are continuing with our only government to test those structural reform which are absolutely necessary to consolidate growth on one side on the other side the point is not to dismantle what we have been have been we did

like the eurozone the point is to put the must small the euro and the eurozone at the risk of the call me to introduce a new policy meek's to shift from a set of rule past are inadequate and obsolete to a new policy mix which put investment and growth at the center of european action not only at the center of the national action this is what we want and this is what we think is needed not only for the thirty but the for the eurozone as old. so l.a. is still largest opposition party five star movement and the northern league they're both anti europe and they're saying that they would bring their layer back if they win the next election now i don't know if that's going to happen but judging by the polls they do have a chance a real one i just want your opinion why most forty seven it's like almost half of the country if they think it's a bad thing why do you think that happened. well first of all. to the polls because

yes people say that the euro isn't in favor of three thirty but then when you say if they want to leave the euro or if they want to leave the european union the majority of people is no we don't want to leave the eurozone we don't want to leave the european union so i mean take with a pinch of salt this kind of pulls force the forward second. why they want to destroy the italian economy i answer for them it is clear that all the movement and there. are two example of extremist movement. always of a simple solution to a real problem which require other kinds of solutions so they see well that there is an employment need let's get out of the euro zone we have a problem with immigration let's get out of the schengen area. that these two solution goes against the interest of the italian economy which requires to be in a stable currency required to be in

a stable euro zone but also in the kind of policy mix in the economic body says that europe the united nations eleven i do not see how they tend to economy could survive in leaving the eurozone and then going back in year out of very high inflation. strong devaluation which is competitive only in the short run which can bring sound benefit for some export of export in the short run by. it would be would be disaster in the medium a wrong show in the wrong ground for the ten economy and by the way if there is something which is working you need to do the. export. a lot and i don't feel well for our wealth because they explore so even with the euro we don't need to have the devaluation going. to improve our exposed

exports so i do not see any solid argument to leave the eurozone i see many so important so you are saying is don't seem to the eurozone to buy the shipping so you're saying that if push comes to shell freight and either of the parties comes to power hypothetically speaking and we have a referendum in your country that people italians will not support the ags it from the here is on is that what you're saying. i say that this crazy idea you're talking about and it's not because it is your idea because it is we are they the by this bunch of populists those of the legal legal know the leak the five star movement would destroy private savings because if you call for a referendum on the euro it's that they too of this campaign with the false polls which is likely favorable to you today yes to the exit of the euro we would have

a massive financial speculations against them privacy so what we have to do is to prevent. people. from taking the power and this certainly depend on us these depend on how how how how convincing we'll be with their young people then if you ask me how we would like an italian government with the five star movement in power up i can simply suggest to you to take the example of the roman government the government of italian capital which is a total disaster and which is in the end of the price of movement so i mean if you're from moscow you might have a interesting look to the face of the not elite i can understand because they are reality i don't think that it is in our interest in the interest of europe in the interest of our bilateral relations to be deiced county like italy would be if the

face of movement of the northern league would take power in our country mr gutsy we're going to take a short break right now and when well back we'll continue talking to minister for european affairs discussing interest here as a whole and if there is a chance to reform the single currency states.

about your sudden passing i've only just learned you worry yourself and taken your last wrong turn. you're out caught up to us we all knew it would i tell you i'm sorry i could so i write these last words in hopes to put to rest these things that i never got off my chest. i remember when we first met my life turned on each breath. but then my feeling started to change you talked about war like it was against still some are fond of you those that didn't like to question our archives and i secretly promised to never again like it said one does not leave a funeral the same as one enters the mind gets consumed with death this one quite different i speak to you now because there are no other takers. just saying that mainstream media has met its maker. says

earth but its survival guide the taste to go to the store simply. resurfaced see sure it's still there are you going to get a bad cut back to. go ahead knowing this is a repatriations game look at the way the seven yr cool built the separate treasure board. and we're back with sandra goard cecily's minister of for a european affairs discussing italy's place in the european union and the euro zone welcome back mr gati now. one hundred fourteen italian banks out of five hundred are in deep trouble that's according to italian newspaper and saw it italy could

start bailing out the banks with public funds but that goes against the e.u. bailing out rules now should the government just go ahead without brussels approval or issue daily wait until the e.u. comes up with some kind of solution so. the european we do believe that there are some of the existing directory the bank can say we. have to be revised because they implemented in different ways in different counties but that means that to all of those the not all the rules are very efficient and we do believe that on one side we have to intervene and to dwell upon that national level on the other side there must be also review and i know the european commission is working on that. with the directive because they're banking restructuring within the european union now they have the euro group talking about the bailouts in general

he sat that southern countries quote blew their money on drinks and women is that what happened to italy as well. well i mean i think that the least that we can say of the statement of a year on buys them blown that was very unfortunate. that it proved that it's not adequate for this poster and i hope with that there will be a change of very soon. such that it is not what it is not what that been seen by county but that was what you are referring to it is a very unfortunate creation we do not have anything to see with a konami creativity of counter. but only with. a stupid. you would never expect

from. an important body like the euro group but he das chair that body can be here is only one roof forward if that's how the richard northern states understand south of problems i mean it's not like people in north don't drink and sleep with one man or something you know. well honestly i wouldn't waste your time and my time in talking about booze and women. because i do not think that this is the point i everybody criticised the year on the rise and blown the chair of the euro group for that it is clear that during the cries this was. the measure i have produced that is what i distrust and what we have to do now is. the confidence to be the move toward confidence between the south and counter and not encounter between the counters and trade the counter is the mania of the fisher divisions or division produced by stupid statement all stereotypes and the one you

were referring to the time is counted on the page and i do believe that we must and we can and in doing. a new phase because it is in the interest of everybody and certainly i mean that this guy and. i know about that really i mean there are so stupid that i do not think that we should take them very seriously right so let's talk about more serious things down the latest solution to the problems have been a two speed europe which is in essence proposing two different systems for europe i mean one for those who want more integration another for those who don't but one that is pretty much for a clean union down instead of saving it it is a union of twenty seven member state and you know which is going to grow because i do believe that after twenty nineteen new newark counties from the west and bottoms will join the european union well in this kind of fuel it is. an illusion to think

that we proceed to get the same reteam with the same intensity toward the same direction this year that there would be some which would be satisfied with a single market and something more and that. we decide to deepen their integration to reach new common objectives that says a more efficient the security and defense bodies of the union or a truly social union or master stronger must stronger body to run the immigration and to counter the threat of terrorism sure i got i got your point but what this multispeed here are mean that states who are more integrated will be they was deciding things like well the decision making may in the hands of germany and france while the rest play catch up no i mean the german the french german couple belongs to the story. i mean it is clear that it is necessary that

there is an agreement between berlin and paris but is absolutely not sufficient anymore. i think it is very clear in the two capitals. because it is clear that we have to create a critical mass we see goes well beyond france and germany. for secondly i mean it is not that more and more integrated can't decide for the other it is the other we decide not to be in the more integrated group of countries because they condition to create this group of we go faster we'll be on the only condition would be political will so the door must be open to everybody willing to join and so also we won't be in the group it is because they have decided not to be in the group and if you decide not to be in the group it is clear that you decide not to decide if you decide to stay out how do

you make sure that they last integrated members don't boycott the decisions made by those at the top out of spite or out of fear of being marginalized for example. well i mean politically legally it is very difficult that they can do so. legally because at the end of the day according to the treaties a group of countries can move if it wants so once that some project will be launched by nine or ten countries you will see there would be a majority of county it was going we'd be willing to join and there would be a very tiny minority of downed trees we decided to stay out and i'm sure about these after all these been the way europe was founded and europe as advanced because if nine hundred fifty seven the six european democracies who decided the two found that the european union had to wait for the other democracies nothing

would have happened if. twenty twenty two thousand and one the twelve counties would introduce the euro had to wait for whole the other the euro wouldn't be a reality so these as always been their way of promoting the big project in europe and i'm confident that it might work also in the future. so first it was the hearer's and crisis and the migrant crisis and now you have sat back said it is the latest crisis what europe is facing but britain has always kept its distance and e.u. matters i mean it's style some important common decisions that sack said have the potential to actually reinforce the. for some project and for some initiatives probably know it is going to be must easier to go toward a certain direction for example they. are talking about before the defense and

security policy with out of the union i do believe that is going to be easier or less difficult to do it through the european defense policy and this is certainly could be a positive side effect of the u.k. departure what i want to say that i would have preferred the brits to stay in the union but it is also true that the brits well never been never been fully within the you know they've always. said one step in and whilst about now they decided to take the two steps out of the union and they do believe that owns certain projects on some. of the project with the. political potential could be easier without the brits to move it i want to talk about

a latest news in turkey a country that's long been in the line to become an e.u. member present and the gun just want a referendum which has granted him sweeping new powers now adding i and saying hey strengthening turkish democracy but i mean austria and germany and other countries have already sat this closes the door on terra kiss e.u. membership is this going to be the final straw. well i do believe that. any. was hoping for a landslide success in this referendum. ended up with a split country with. fifty one percent in favor of reform forty nine percent against is there for the three major turkish cities again the reform with a majority the most backward the region of in favor of the reform so i mean it is clear that it is a very difficult situation so i think we have

a problem i think we have a major political problem i do believe that we must first of the dialogue with the european we must first of the delegates your queue for because after all there is a forty nine percent of people who voted no we have to. because it is an important part many this is important because the it is a member of nato because it is a member of the council a few are up but it's clear that what has happened during the campaign the content of this reform represent a major political problem the attitude of president aragon war europeans represent a major political problem and it is provocation output that he used this and there are only complicated our bilateral relations but the question is for the e.u. is it worth losing a potential partner in the middle east i mean the only country that could really help the union deal with a migrant crisis. you know what i was i was i told you that you have to have

a dialogue with your team. about the dialogue doesn't mean to hide they all standing political problems that you know about the relations south of the migration agreement is an important agreement it is war king there are some mess but which should be improved but it is working and be we should to continue to implement it but these cannot hide other faiths with major political problems it is clear as i see your import on the neighboring county it these. days you position it is a member of important organization so we must first of the dialogue with your key about. a dialogue with the county doesn't mean not to be front and wholeness with the government and ice i repeat the attacks the provocations repeated attacks

abreu occasional affair gone to war there will be a union i have been told by the understandable uncomprehensible they might have had during the campaign i hope that it is over now i hope that we see is no hope that would stop now because they are not helping at all about the relations but in my opinion that not being the turkish government. all right mr watson thank you very much for this century or talking to sound or god say italian european affairs minister talking about a speech error in the here opinion and that's it for this edition of.

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i was. three years under speech the syrian city of dia resorts celebrates as government forces closed in on removing islamic states from one of its last strongholds in the country. in the united states george territory with the. military response. and overwhelming washington isn't the ruling out using its own nuclear capabilities if north korea continues to threaten the us or itself is the pyongyang confirms it successfully tested a hydrogen bomb. and ferrying persecution tens of thousands of muslims in myanmar flee the asian country as the minority community struggles against violent oppression by the state's parties.