Parliament president attacks bank agreement

The President of the European Parliament attacked the deal done by Government heads on the first president of the central bank…

The President of the European Parliament attacked the deal done by Government heads on the first president of the central bank as being in breach of the spirit of the Maastricht Treaty.

Mr Jose Maria Gil-Robles took his controversial stance after Government leaders had decided to allow the Dutch candidate for the post, Mr Wim Duisenberg, to retire before the eight-year term had expired.

"Let us hope that the baby born in such a bad form can recover and be strong in the future," Mr Gil-Robles stated.

However, Mr Tony Blair, British Prime Minister and President of the Council of Ministers at a press conference in the early hours of yesterday morning, categorically denied that the decision went against the treaty.

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He said Mr Duisenberg had indicated it was not his intention to serve the full-term of eight years. He at least intended to see through the transition period but the decision to retire should be his and his alone.

"There is no question whatever of going against any provision of the treaty," he stated

Mr Blair said that the decisions had taken some time, 11 hours, and it was extremely important that they had taken that time to ensure that the treaty was upheld in full. Mr Duisenberg would take the decision to retire alone and there was no question of changing the treaty.

It was important this point was made clear and for this reason they had invited Mr Duisenberg to address the council. Clearly, in view of his age, Mr Duisenberg wanted to see through the launch of the euro and then retire, Mr Blair said.

"For a moment as historic as this, if we take 11 hours, it is no great difficulty," the British Prime Minister said.

Earlier on Saturday, at a press conference after the European Parliament session, Mr GilRobles had said that Parliament was in favour of a single candidacy for eight years.

When it became apparent as the day went on that this might not be the case, Mr Gil-Robles revised his address to the council of ministers.

"You have taken a decision concerning the candidates for nomination to the executive board of the European Central Bank. Parliament has already expressed very clearly the need for the treaties to be adhered to scrupulously, in both letter and spirit," he told the Government leaders.

He said the parliament would undoubtedly consider most carefully the proposals put to it.

"It is not for me to anticipate parliament's opinion, but today has clearly shown that it is no longer possible to reach unanimity on such important nominations and without parliament giving its approval. I am convinced that if these two conditions had been adhered to, it would not have taken all afternoon to reach this conclusion," the parliament president said.

Parliament had emphasised the following points. The euro must help to create jobs, and must not mean an increase in the EU's democratic deficit.

The parliament was calling for the future European Central Bank to brief it regularly on its decisions; that decisions to be taken by the Ecofin council must not be taken behind the scenes and that in democracy the voice of parliament should not be regarded as an obstacle but as a guarantee of legitimacy and acceptance.

Mr Gil-Robles said the last of the points which parliament had emphasised was the hope and desire that all the member states would adopt the euro as soon as possible.

"It would be regrettable if the first round of enlargements were to occur without this having taken place," he said.

From that day onwards, most of the EU member states would form an economic and monetary federation.