The single European currency will survive only if the euro zone becomes
“a federation”, according to Czech Prime Minister Petr Nečas. In his
opinion piece in Thursday’s Czech daily Lidové noviny, Mr Nečas
questions whether the Czech Republic should adopt the euro under the
current conditions and if so, when. The Czech Republic and the UK are the
only two countries that have not joined the fiscal pact agreed at last
week’s EU summit. In Thursday’s opinion piece, Mr Nečas goes on to
criticize the compact by saying that while the agreed treaty was a crucial
step towards federalisation, it failed to solve current problems. By
joining, he said, countries gave up the right to vote on their own budgets
within the EU, thereby losing sovereignty.