Lars Wohlin (IND/DEM). – (SV) One of the problems with EMU is that there is no control by the financial market of the way in which Member States conduct their economic policies. However large the deficits run by Member States as part of their overall debt, their ratings are not affected appreciably. There is an implicit guarantee for countries within the euro area, irrespective of what is said about countries’ borrowing not being guaranteed by other countries in the euro area. My view may be summarised in three points.

Countries newly set to enter the euro area must hold referenda before they introduce the euro. It is important that people be made fully aware of the real implications of changing their currency. They must appreciate the consequences of having a fixed exchange rate and of not being able to conduct their own monetary policy. The example of Sweden shows how important it is to have referenda.

Secondly, new countries that have public debts in relation to GNP more than 60% in excess of GNP should not be approved. This rule has not so far been applied stringently enough.

Thirdly, a proportion of new countries’ state borrowing should compulsorily be from the long dollar market, involving for example ten-year bonds. This should of necessity give rise to a rating without a corresponding implicit guarantee from the EU countries. I believe that such dollar bonds would provide a more accurate picture of the countries’ economies.