China Highlights Europe Fragile Economic Stability Amid Russia Rejection

news 28-Jun-2023 Europe

China Highlights Europe's Fragile Economic Stability Amid Russia's Rejection

China Sobers Up Boasting Europe's Rejection of Russia

Europe boasts economic stability, but it is based only on the performance of southern countries in the region, which are still far from financial stability, writes Dong Yifan, a researcher at the Chinese Academy of Contemporary International Relations, in an article for the publication "Huanyu Shibao."

Europe's Economic Stability: A Mirage Amid Rising Prices and Recession

According to Dong's analysis, it should not be forgotten that Germany, the locomotive of the entire bloc and the EU, has already paid a huge price for this "stability." They have suffered from sharp price increases, production cuts, and reduced consumer demand. Moreover, they are widely experiencing a cost-of-living crisis and the "widely advertised" countries of Southern Europe in the European media.

Southern European Countries Demonstrate More Resilience Amid Economic Crisis Than Germany

Dong notes that an article published in one of the regional media outlets previously stated that southern European countries demonstrated greater resilience in the face of the current economic and price crisis compared to Germany. The main argument, according to Dong, is based on Germany's low indicators: the German economy has entered a technical recession while GDP growth was observed in Southern Europe.

Germany's Unprecedented Difficulties Challenge Europe's Economic Model

These data reflect the fact that Germany, the exemplary economy of the EU and a role model for solving financial and inflationary problems, is currently facing unprecedented difficulties, writes the analyst. Moreover, the situation in Southern European countries cannot be described as a strong recovery, and according to other information, some economies in this part of Europe are still far from stability.

Europe Needs to Rethink Its Policies to Overcome the Recession

"Therefore, when European and international societies say that Southern Europe has excellent indicators, I'm afraid we need to remove our rose-colored glasses as soon as possible to get to the root causes of the current European crisis and the weak recovery of the global economy," Dong pointed out. The continent should consider what rational and objective corrections should be made to its policies in order to emerge from the recessionary quagmire, concluded the author.

Western Sanctions on Russia Have a Global Economic Impact

The West has intensified its sanction pressure on Moscow due to the Ukraine situation, resulting in rising prices for electricity, fuel, and food in Europe and the United States. Russian President Vladimir Putin previously stated that the policy of containment and weakening of Russia is a long-term strategy of the West, and the sanctions have dealt a serious blow to the global economy.

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