Future is Blue

In this Future is Blue episode, host Carlos Carnicero Urabayen speaks with Alice Faibishenko, Senior Advisor at Funcas, about the recent volatility in EU sovereign debt markets, particularly in the wake of France's turbulent elections. They explore how political instability and fiscal challenges have driven up French bond spreads, sparking renewed concerns about eurozone fragmentation. Alice provides expert insights into the broader EU implications, discussing limited contagion to other economies and the long-term need for fiscal reforms to stabilize debt markets. This conversation offers listeners valuable perspectives on navigating Europe's complex financial landscape.You can read the latest SEFO publication by Funcas here. 

Sander Tordoir, an expert on European competitiveness, and Raymond Torres, a commentator on economic policy, dive into Mario Draghi’s pivotal report. They discuss Europe's urgent need for strategic solutions to combat economic stagnation and enhance productivity. The conversation highlights the challenges facing the EU tech sector, the delicate balance between decarbonization and competitiveness, and the political hurdles posed by key players like Germany and France. Together, they advocate for increased funding and responsibility to rejuvenate Europe’s economy.

Cecilia Trasi, a representative from Bruegel, dives into the EU's ambitious climate action strategy. She highlights how the EU seeks to balance decarbonization with economic competitiveness while building crucial partnerships with emerging economies. The discussion covers the upcoming Carbon Border Adjustment Mechanism and its implications for international trade. Trasi also delves into the EU's climate finance initiatives and the importance of aligned trade regulations to bolster global decarbonization efforts, despite the challenges in EU green diplomacy.

Alice Faibishenko, a Senior Advisor at Funcas, provides expert insights on the recent changes in the European Central Bank's monetary policy. She discusses the ECB's rate cut, highlighting its impact on Spain's financial sector and contrasting it with the Federal Reserve’s strategies. The conversation explores market reactions to these cuts, and how historical lending trends influence credit demand. Faibishenko emphasizes the importance of effective communication in navigating economic challenges, especially amid geopolitical uncertainties.

Sander Tordoir, Chief Economist at the Centre for European Reform, and Raymond Torres, Director of Funcas Europe, discuss Europe's post-election economic scene. They dive into the rise of populist parties and its impact on policies like the Green Deal. The two experts highlight the urgent need for increased investment and market integration to address productivity challenges in major economies. They also tackle digital transformation, stressing the necessity for a unified approach to boost competitiveness against global players. A roadmap for sustainable growth emerges!

Alice Faibishenko, a representative from Funcas, dives into the transformation of global trade and investment since the pandemic. She examines the concept of re-globalization and the challenges the EU faces, including declining export market share and foreign investment competition from the US and China. However, it's not all doom and gloom; Alice highlights a surge in intra-EU trade as a beacon of hope, suggesting that Europe's shifting strategies might just stabilize its economy in these uncertain times.

Professor Iain Begg, affiliated with the London School of Economics, and Raymond Torres, Director of Funcas Europe, dive deep into the complexities of the EU budget. They discuss historical challenges and the urgent need for reforms to address future enlargements like Ukraine and Moldova. The contentious Common Agricultural Policy and new fiscal rules are explored, revealing the tension between traditional spending and emerging priorities. They advocate for innovative solutions to ensure sustainable and transparent EU finances amid these evolving challenges.

In this discussion, Hans Dubois, a Senior Research Manager at Eurofound, joins housing expert Carlos Carnicero Urabayen to tackle Europe’s housing crisis. They delve into the staggering impact of soaring rents on young adults, forcing many to live with parents. The conversation highlights the effectiveness of various housing policies and innovative solutions like the 'housing first' model. They also emphasize the need for greater investment from EU member states to enhance housing affordability and reduce homelessness, fostering a more secure future for the youth.

Alice Faibishenko, a Senior Advisor at Funcas, discusses the evolution of Spain's labor market, highlighting its resilience against high unemployment. She explores long-term unemployment issues, especially for young graduates and less-skilled workers facing systemic barriers. Faibishenko notes the remarkable recovery post-crisis, with over a million new jobs created from 2021 to 2023. The importance of effective public policies to enhance job quality and leverage youth potential for economic growth also takes center stage.

Sander Tordoir, a Senior Economist at the Centre for European Reform, discusses Europe's response to rising economic nationalism from superpowers. He highlights Europe's cautious strategies compared to the aggressive tactics of the US and China, emphasizing the need for policy reform. The dialogue explores the importance of technological collaboration and a unified approach to green industry, while underscoring the critical role of the single market in maintaining Europe's economic strategy and autonomy.