Belgium and Greece are scrambling to persuade European capitals to back their candidates in this week’s election for the Eurogroup presidency, amid uncertainty about the likely next chair of the powerful informal gathering.
EU diplomats and officials have offered wildly divergent – and sometimes directly contradictory – predictions for Thursday’s crunch vote between Belgian Deputy Prime Minister Vincent Van Peteghem and Greek Finance Minister Kyriakos Pierrakakis, who both hail from the centre-right European People’s Party (EPP) that dominates Europe’s political scene.
The majority of diplomats Euractiv spoke with describe the candidates, who have both built reputations as fiscal conservatives in traditionally high-debt countries, as locked in a neck-and-neck battle to succeed Ireland’s Paschal Donohoe as chair of the 20-country bloc.
Some, however, have suggested that Pierrakakis is so far from winning the 11 votes required to win the presidency that he could withdraw his candidacy before Thursday’s vote; others, however, say the same about Van Peteghem.
As things stand, the Netherlands, Finland, and most other northern EU countries appear to be leaning towards backing Van Peteghem. Athens, meanwhile, is hoping for support from Europe’s southern countries, including Spain, as well as Estonia and Lithuania.
France has not gone public on the matter; however Pierrakakis met on Monday with France’s Finance Minister Roland Lescure in Paris.
“We are basically in maintenance mode, waiting for the new president to be elected,” said one senior EU official, adding that the new leader will “play a key role in guiding” the group’s work and setting its “political vision” during their two-and-a-half-year term.
Some diplomats have suggested the uncertain outcome is partly due to the candidates’ similar electoral platforms, with both pledging to improve budgetary coordination, strengthen the global role of the euro, and boost the bloc’s flagging competitiveness.
Similar but different
“They’re both cut from a similar cloth,” said one EU diplomat.
However, the personalities and general styles of the two politicians differ significantly.
Despite only becoming Greek finance minister in March this year, Pierrakakis is regarded as a more dynamic and spontaneous contributor to Eurogroup discussions than Van Peteghem, who has attended the meetings since 2020.
However, Van Peteghem’s work ethic and quiet studiousness – as well as his successful stewardship of EU finance minister meetings during Belgium’s Council presidency last year – have earned him considerable respect among his colleagues.
Pierrakakis, meanwhile, has sought to portray his campaign as part of a broader story of Greece’s economic revival over the past decade.
The country was at the epicentre of the eurozone crisis in the 2010s that almost led to the collapse of the single currency, but has since become one of the bloc’s best performers.
According to the Commission’s latest economic forecast, Greece is expected to grow by 2.1% this year – well above the average eurozone expansion of 1.3%. Athens’ government debt-to GDP ratio, which peaked at more than 200% during the COVID-19 pandemic, is also projected to fall to 130% by the end of this decade.
“There appears to be a growing need for southern European representation in the Eurogroup,” said one government official close to the matter.
Several diplomats also claim that Pierrakakis’ campaign may have been bolstered by Belgium’s refusal to back a €210 billion loan to Ukraine using immobilised Russian assets, which is strongly supported by the vast majority of EU capitals.
Others, however, say it is far from clear whether Belgium’s concerns about the legal and financial risks of the so-called “reparations loan” will ultimately affect Thursday’s vote.
The uncertainty and general confusion about the election also comes amid rumours that EPP leader Manfred Weber was reluctant to see two centre-right candidates contest the presidency at all, after Donohoe’s shock resignation as Eurogroup chair last month.
On 27 November, the Bavarian MEP visited Athens, meeting government officials, including Prime Minister Kyriakos Mitsotakis. According to officials, Weber maintained a neutral stance, reportedly stating that the best candidate should win.
(aw, jp)
