Christine Lagarde: The choice facing Europeans

In the heart of Berlin, at the Bode Museum, Christine Lagarde reflects on the pivotal choices Europeans have faced throughout history. The city, once described as "more a part of the world than a city," has witnessed the rise and fall of empires, the devastation of war, and the division of East and West. In 1949, West Germans made a crucial decision, electing Konrad Adenauer as Chancellor with a commitment to anchor the Federal Republic in the West.

This decision, known as Westbindung, set the course for European integration and laid the foundation for the decades that followed. When the Berlin Wall fell, East Germans were finally able to choose freedom and a shared future with their Western counterparts. For a time, the choices imposed by history seemed to fade away, with Europe enjoying the complementary relationships of integration, economic expansion, and secure alliances.

However, the full weight of history has returned, and Europe is now entering a harsher, less forgiving world. Major powers are increasingly willing to use their economic and geopolitical weight to their advantage, threatening the very fabric of European unity. Europe must now make a choice: accept its decline and accept dependence on others, pursue its own national interests at the expense of unity, or choose each other and continue building the European project.

The first pathway, accepting decline, is a mirage, as Europe would face weakened growth and an unsustainable social model. The second pathway, pursuing national interests, is also a mirage, as countries around the world are finding ways to band together and resist pressure from larger players. The third and most promising pathway is for Europe to choose each other and continue building the European project.

By acting together in areas where it makes sense, such as the Single Market, the European Union can master its scale and become less vulnerable to outside pressure. The European Single Market and the digital euro can help unlock Europe's abundant savings and preserve monetary sovereignty in a world where dependence on others is no longer sustainable.

As Johann Paul Friedrich Richter, known by his pen name Jean Paul, wrote, "Difficult things never seem impossible to me." Europe must embrace the challenge of choosing each other and building a stronger, more united future.