The European Union’s external imbalances: past, future and policy
Europe’s rising external surplus now rivals China’s, reflecting weak investment and growing surpluses, pointing to a need for pro-investment reforms. External imbalances have returned to
EU aid for domestic revenue mobilisation after the Sevilla Commitment
The 2025 Sevilla Commitment renews the push for domestic revenue mobilisation, with the EU needing stable, targeted support for low-income partners. Mobilising domestic revenue in
The new global imbalances: why care, why now and what should be done?
This essay analyses the causes of, and remedies for, external imbalances, and what countries should do if they do not decline. Global imbalances are back:
Debt sustainability in Japan and the case for a fiscal council
Rising rates are testing Japan’s fiscal framework, with debt dynamics hinging on growth and pointing to the need for adjustment and a fiscal council. Japan
Could a Hormuz toll solve the oil crisis and who pays?
With a return to the pre-Iran conflict energy status quo unlikely, a Hormuz toll may be the next best option – but Gulf states would
Risks for Europe of US dominance of global asset management
US firms’ rise in EU asset management may weaken sustainable finance, making tougher stewardship, ESMA supervision and autonomy urgent. Asset managers work on behalf of
Global shocks are back: Emerging markets holding up
When global uncertainty increases, emerging markets are typically the most exposed. Historically, tighter US monetary policy has led to capital outflows, currency depreciation, and tightening
Why global imbalances matter again – and what to do about them
Global imbalances are back, and the lesson from history is that they often end in financial crises. This column, based on the authors’ chapter in
The weaker US job ladder has slowed wage growth
Since the 1980s, real wages in the US have grown only slowly, even as productivity has continued to rise. This column shows that a weaker
Migration shocks and voting
Russia’s invasion of Ukraine triggered an unprecedented displacement of millions of refugees across Europe, highlighting the need to examine its political effects. This column discusses
