Pierre Moscovici on EU-US Relations, French Debt, and Ukraine Peace Talks

Mogherini Allegations and EU Audit

• 💡 Pierre Moscovici expressed surprise at the allegations against Federica Mogherini, whom he considers a personal friend and a remarkable person.
• ✅ He emphasized that while investigations are ongoing, Mogherini's decision to step down from her role as Dean of the College of Europe demonstrates exemplary conduct when facing suspicions.
• 🔍 The European Court of Auditors, where Moscovici will serve, scrutinizes EU funds for regularity and performance, though he noted it's unlikely to specifically investigate the Mogherini case due to ongoing judicial probes.

US-Led Ukraine Peace Talks

• ⚠️ Moscovici described the US skipping Brussels in their Ukraine peace talks with Russia and then meeting Ukrainian negotiators in Miami as a significant mistake.
• 🎯 He argued that peace cannot be built solely with Russia and that bypassing European involvement undermines the peace process.
• 🇪🇺 He stressed that Ukraine must be fully respected, that this is a European war, and that Europeans must be respected and involved in finding a solution.
• 🛡️ Moscovici also highlighted the need for Europe to prepare for potential future aggression from Russia, whether hybrid or military.

Russian Frozen Assets and Ukraine Funding

• 💰 Regarding Russian frozen assets, Moscovici stated that the primary plan is to utilize them, acknowledging the need to address concerns from countries like Belgium and heed the ECB's advice.
• 🤝 He expressed confidence that a solution will be found, whether through Plan A (using assets) or Plan B (alternative proposals like joint borrowing), to finance commitments to Ukraine, as inaction is not an option.

French Public Finances and EU Debt

• 📊 The average EU debt stands at 81.9% of GDP, which Moscovici deems too high but not alarmingly so, noting it was higher post-COVID.
• 🇫🇷 He identified a significant "French problem" with its debt continuously rising and exceeding the EU average, currently around 115% of GDP.
• 🔑 Moscovici stressed that France must regain control of its public finances to maintain credibility, enhance sovereignty, and lead by example for other European nations.
• 🏛️ He expressed hope for a budget under 5% deficit to GDP before year-end but believes structural problems will only be addressed after 2027, requiring a clearer parliamentary majority and a renewed vision for governing.