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News analysis EU faces leadership void amid German political paralysis and French instability

The Straits Times

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December 18, 2024

BERLIN - The Franco-German engine has not always run in sync in the past. However, in most cases, at least one of the two nations could take the lead when either Paris or Berlin found itself in a political bind.

- Markus Ziener

News analysis EU faces leadership void amid German political paralysis and French instability

This division of labour, however, no longer seems to function. After German Chancellor Olaf Scholz lost a vote of confidence on Dec 16, he has officially become a "lame duck".

So while French President Emmanuel Macron is cycling through one prime minister after another and France struggles with unprecedented political instability, German politics is simultaneously paralysed - at least for the next few months.

This leaves Europe without leadership at a time when immense challenges demand action: Donald Trump's looming return to power in the US, Russia's military advances in Ukraine, and massive global economic difficulties.

Voices warning of dangerous stagnation are already growing louder.

"The French crisis, together with the German one, must not slow down the implementation of economic reforms," said Mr Enrico Letta, author of a 147-page European Union-commissioned report in 2024 on the region's economic weaknesses.

In a recent conversation with Reuters news agency, the former Italian prime minister cautioned that political instability poses a "potential meteorite" for financial stability in a region struggling with high debt.

Yet, in the German Bundestag debate that paved the way for new elections scheduled for Feb 23, the European implications of the collapse of Mr Scholz's government were not front and centre.

Instead, parties have already begun eyeing domestic politics, positioning themselves for the election campaign that will dominate German politics in the coming weeks.

The conservative Christian Democratic Union/Christian Social Union (CDU/CSU) and the Liberals are focusing on pro-business platforms, the Social Democrats (SPD) under Mr Scholz are portraying themselves as the protector of social balance and prudence, while fringe parties such as the far-right Alternative for Germany, and the populist Wagenknecht alliance revel in the government's failure.

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