Six EU Nations Renew Discussions of a ‘Two-Speed Europe’

Finance ministers from Germany, France, Poland, Spain, Italy, and The Netherlands held a call on 28 January to discuss a proposal to form a small group of the European Union’s largest economies to advance the continent’s economic interests.

German Finance Minister Lars Klingbeil invited his counterparts to the videocall to discuss the problem that the full, 27-nation European Union moves too slowly to adequately adapt to complex and changing worldwide economic situations.

“To survive in an increasingly unpredictable geopolitical situation, Europe must become stronger and more resilient,” Klingbeil wrote in the letter, as reported by Reuters. He also added that, “Now is the time for a Europe of two speeds,” using a controversial term that has been debated since the EU was formed in 1993.

The Washington Post reported that the proposed bloc of countries would focus on four areas:

• A savings and investment union to improve financing conditions for businesses
  
  
• Strengthening the Euro’s role as an international currency
  
  
• Better cooperation on defense spending
  
  
• Securing resilient supply chains for critical raw materials.

According to Reuters, “no concrete decisions were made during Wednesday’s call,” and the term “two-speed Europe” was not mentioned. “One EU source said it would be an informal, ad hoc group that would convene when needed. Another said this would not be an exclusive club,” Reuters reported, though “it was not clear… at what stage other countries could join.”

As word of the meeting spread, it garnered criticism from Lithuanian Prime Minister Inga Ruginienė.

“I think we should increasingly discuss how to avoid separate unions and instead have a common European Union,” she said. “Regardless of a country’s size, one clear and strong voice is our security guarantee and gives us strength. If we start dividing countries, that sense of unity gradually fades.”

Her response echoes the arguments that have occurred throughout the years by EU nations with smaller economies.

In a 2017 Politico op-ed, the Czech prime minister at the time, Bohuslav Sobotka, wrote that the European Union was at a crossroads.

“Some have called for the creation of a ‘two-speed Europe,’ in which a small group of EU countries pursue tighter integration, leaving those unwilling to follow on the periphery,” Sobotka explained. “This would be a mistake, and a dangerous one. …The EU’s strength lies in collaboration and unity. If we don’t face our challenges together, we will not solve them at all.”

The six finance ministers on the call agreed to continue the discussions.