“This century is characterised by uncertainty, shaped by geostrategic, geopolitical, and geoeconomic turbulence,” noted Luxembourg’s Finance Minister Gilles Roth in his introductory remarks. Addressing the Trump phenomenon first, Amy Greene, associate expert at the Institut Montaigne and author of “America Facing Its Divisions”, attributed the American president’s eagerness to impose tariffs to a belief that the United States has thus far lost out from globalisation. “They see themselves as victims of economic imbalances, which he seeks to rectify,” Greene explained. Trump’s objectives, she added, also encompass political aims, such as reinvigorating industry, creating working-class jobs, and generating new revenue streams. However, she emphasised, “For the United States, the real issue is China—and we’re hardly discussing this at present.”
China, currently hesitant and trying to stimulate its domestic consumption, faces both production overcapacity and increased tariffs in the American market, according to Anne-Sophie Alsif, Chief Economist at BDO France. “If China looks towards Europe to sell its goods, this presents a genuine opportunity to negotiate greater market openness for European products in Beijing,” she highlighted.
Turning to Europe, which appears to have abruptly awakened, experts unanimously echoed the recent Draghi and Letta reports, stressing that Europe’s future hinges upon deeper integration of financial markets to channel private savings towards innovation in an age dominated by artificial intelligence. “This is the moment for decisive choices and accelerated reforms,” insisted Julie Becker, President of the Executive Committee at the Luxembourg Stock Exchange. “But we must also cultivate an investment culture, something still significantly lacking in European school curricula.”
The year 2025 must serve as a pivotal moment for European leaders, faced with the pressing need to innovate, safeguard their interests, and protect the planet. This monumental challenge calls for enhanced regulatory harmonisation among the EU’s 27 member states, without compromising the protective measures established post-2008 financial crisis, which have strengthened the resilience of financial institutions. Indeed, the time to act decisively is now.
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