France Has A New President
May 06, 2012 at 9:47 PM
Francois Hollande has won the French presidential election and it will send a shockwave through the Eurozone as he has long held anti austerity beliefs.
He becomes the first left wing president of France for 30 years and it will definitely cause a stir politically. The financial markets will be nervy to see how his relationship with Angela Merkel develops.
I believe though that although he has talked tough prior to the election what he actually does in power may well be a lot more reserved. I think we all have our opinions on politicians and election promises.
He would have to be completely bonkers to deliberately rock the Eurozone boat, though it does look like the long term viability of the Euro looks less stable.
Mr Hollande's has talked about raising taxes on the highest earners and public spending, and he also plans to lower the retirement age. I can’t see the retirement age being lowered as it will cost the French taxpayer billions to fund that.
Sarkozy was the 8th Government leader of a Eurozone country to lose office one way or another in the last twelve months.
I personally hope the Eurozone survives as when I do drive around Europe ( I drive in Spain quite a bit as well) it is easier not to have to change currency at every border.
It’s been a long time since I had to pay a French speeding ticket in Francs.