Italy, France to Sign Treaty to Show Closeness Post-Merkel
Italy and France to Sign Treaty to Show Closeness Post-Merkel
(Bloomberg) -- Italy’s Mario Draghi and France’s Emmanuel Macron will sign a bilateral cooperation accord next week, according to people familiar with the treaty, in the latest sign that the leaders have gotten closer.
The ‘Quirinal Treaty’ -- named after the opulent presidential palace in Rome where it will be signed -- is designed to boost industrial and strategic cooperation between the two countries. It mirrors the so-called Elysee accord between France and Germany, which was ratified in 1963.
A spokesperson for Draghi declined to comment, while Macron’s press office said it isn’t confirming “at this stage” the pact will be sealed.
It’s good news for defense and strategic sectors, where companies like Italy’s Avio Aero and French Safran have been competing for the lucrative contract to make Eurodrone engines.
Former Prime Minister Paolo Gentiloni started negotiations with Macron over a text back in 2018, but he was replaced following elections that year by Giuseppe Conte, whose populist government challenged Macron’s vision of greater European integration. The two countries went on to spar over everything from migration to culture.
Draghi and Macron have known each other since the Italian premier headed the European Central Bank, but mutual respect and admiration has since deepened over the past nine months, putting may of the disputes to rest. Now, with Angela Merkel ready to step down as German chancellor after some 16 years in power, the two leaders are likely to wield more influence over European Union policy.
So far, they’ve spent almost 10 hours in bilateral meetings together, and have been informally coordinating before key summits.
They converge on an array of foreign policy issues relating to Libya, China and Russia, and are also aligned on economic policy.
Both said EU monetary policies should remain expansionary and that debt is needed to boost growth at this time, thus forming a united front against the so-called frugal countries like Austria and the Netherlands that favor a more cautious approach.
For Macron, the partnership has added value: as he prepares to take over the EU rotating presidency he’s going to need all the help he can get because he’s alienated other European leaders.
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