The Prague Post - Europe's Economic Self-Sabotage

EUR -
AED 4.231851
AFN 81.24019
ALL 98.584644
AMD 443.441913
ANG 2.0623
AOA 1056.719257
ARS 1341.976745
AUD 1.776506
AWG 2.074259
AZN 1.964368
BAM 1.962631
BBD 2.32457
BDT 140.810099
BGN 1.955726
BHD 0.434748
BIF 3389.10807
BMD 1.152366
BND 1.483386
BOB 7.984583
BRL 6.328452
BSD 1.151347
BTN 99.868131
BWP 15.527235
BYN 3.767818
BYR 22586.371358
BZD 2.312629
CAD 1.578488
CDF 3315.356832
CHF 0.940866
CLF 0.02826
CLP 1084.469033
CNY 8.28378
CNH 8.276632
COP 4705.109911
CRC 581.518969
CUC 1.152366
CUP 30.537696
CVE 110.771166
CZK 24.796569
DJF 204.79825
DKK 7.459535
DOP 68.392504
DZD 150.396468
EGP 58.402713
ERN 17.285488
ETB 155.626707
FJD 2.595476
FKP 0.855538
GBP 0.854894
GEL 3.134663
GGP 0.855538
GHS 11.869096
GIP 0.855538
GMD 82.401438
GNF 9974.87964
GTQ 8.849648
GYD 240.880038
HKD 9.046015
HNL 30.134884
HRK 7.532552
HTG 150.997695
HUF 403.087789
IDR 18916.431722
ILS 4.017666
IMP 0.855538
INR 99.803528
IQD 1509.59931
IRR 48543.41368
ISK 142.605293
JEP 0.855538
JMD 183.649643
JOD 0.817061
JPY 167.587392
KES 148.882294
KGS 100.774076
KHR 4632.511006
KMF 492.65201
KPW 1037.138507
KRW 1574.373893
KWD 0.352912
KYD 0.95949
KZT 599.31475
LAK 24862.293541
LBP 103251.983255
LKR 346.131731
LRD 230.070318
LSL 20.650655
LTL 3.402637
LVL 0.697054
LYD 6.245707
MAD 10.553946
MDL 19.854415
MGA 5110.742525
MKD 61.516506
MMK 2419.052624
MNT 4131.864636
MOP 9.309722
MRU 45.771615
MUR 52.570598
MVR 17.752174
MWK 2000.506979
MXN 21.924105
MYR 4.903893
MZN 73.705533
NAD 20.650959
NGN 1784.311808
NIO 42.407185
NOK 11.542325
NPR 159.785826
NZD 1.919732
OMR 0.443077
PAB 1.151347
PEN 4.144484
PGK 4.743092
PHP 65.96031
PKR 326.753565
PLN 4.275051
PYG 9189.826303
QAR 4.195188
RON 5.029617
RSD 117.229026
RUB 89.999011
RWF 1642.121387
SAR 4.324354
SBD 9.611225
SCR 16.909959
SDG 691.993063
SEK 11.071366
SGD 1.480174
SHP 0.905579
SLE 25.870032
SLL 24164.540661
SOS 658.563654
SRD 44.769129
STD 23851.647215
SVC 10.074063
SYP 14983.359829
SZL 20.673687
THB 37.836205
TJS 11.397978
TMT 4.033281
TND 3.386231
TOP 2.698955
TRY 45.70292
TTD 7.824165
TWD 34.024733
TZS 3032.211168
UAH 48.075828
UGX 4150.409759
USD 1.152366
UYU 47.103538
UZS 14588.95166
VES 118.182844
VND 30115.930055
VUV 138.355997
WST 3.046568
XAF 658.213685
XAG 0.032319
XAU 0.000344
XCD 3.114326
XDR 0.817404
XOF 658.575223
XPF 119.331742
YER 279.681205
ZAR 20.750935
ZMK 10372.669767
ZMW 26.970169
ZWL 371.061345
  • CMSC

    0.0900

    22.314

    +0.4%

  • CMSD

    0.0250

    22.285

    +0.11%

  • RBGPF

    0.0000

    69.04

    0%

  • SCS

    0.0400

    10.74

    +0.37%

  • RELX

    0.0300

    53

    +0.06%

  • RIO

    -0.1400

    59.33

    -0.24%

  • GSK

    0.1300

    41.45

    +0.31%

  • NGG

    0.2700

    71.48

    +0.38%

  • BP

    0.1750

    30.4

    +0.58%

  • BTI

    0.7150

    48.215

    +1.48%

  • BCC

    0.7900

    91.02

    +0.87%

  • JRI

    0.0200

    13.13

    +0.15%

  • VOD

    0.0100

    9.85

    +0.1%

  • BCE

    -0.0600

    22.445

    -0.27%

  • RYCEF

    0.1000

    12

    +0.83%

  • AZN

    -0.1200

    73.71

    -0.16%


Europe's Economic Self-Sabotage




Europe, once a beacon of economic prowess, is grappling with challenges that threaten its unique economic model. The European Union's economy, valued at approximately $20.29 trillion in nominal terms in 2025, stands as the second largest globally, yet it faces stagnation and competitive decline. Germany, France, and Italy, which collectively account for over half of the EU’s GDP, are pivotal to this narrative, but their struggles reverberate across the bloc.

The EU’s economic woes stem from a confluence of internal and external pressures. Germany, the bloc’s largest economy, contracted by 0.3% in the final quarter of 2023, hampered by high energy costs, a shortage of skilled labour, and chronic underinvestment in infrastructure. The automotive sector, a cornerstone of German industry, faces existential threats from Chinese electric vehicle manufacturers, who are flooding European markets with affordable alternatives. Central and Eastern Europe, heavily integrated into German supply chains, feel the ripple effects, with countries like Hungary and Slovakia at risk as demand falters.

Innovation, or the lack thereof, is a critical issue. The EU has failed to meet its target of spending 3% of GDP on research and development, languishing at around 2% for decades. This shortfall is stark when compared to the United States, where tech giants like Amazon and Alphabet dominate global innovation. Europe’s universities, with only one institution in the global top 30, struggle to drive cutting-edge research, and much of the bloc’s R&D funding is misallocated, particularly in Germany, where it is heavily skewed towards the automotive sector. This lack of diversification leaves Europe vulnerable in a rapidly evolving global economy.

Energy policy further complicates the picture. Despite a 26% reduction in greenhouse gas emissions per employed person over the past decade, 70% of the EU’s energy still comes from fossil fuels, and the bloc remains 63% dependent on imported fuel. The push for renewables, while commendable, is uneven—Sweden leads with nearly two-thirds of its energy from renewable sources, while countries like Ireland and Belgium lag behind. High energy prices, exacerbated by geopolitical tensions and the loss of Russian gas supplies, have strained energy-intensive industries, particularly in Germany.

Trade dynamics add another layer of complexity. The EU is the world’s largest exporter of manufactured goods and services, accounting for 14% of global trade. However, the spectre of tariffs, particularly from the United States, looms large. With over €500 billion in annual exports to the U.S., any imposition of tariffs could devastate European industries. The EU’s response—potential counter-tariffs or World Trade Organization complaints—may not suffice to protect its markets, especially as global supply chains face disruptions from conflicts and protectionist policies.

Internally, the EU’s single market, a cornerstone of its economic integration, is under strain. Calls for deeper integration, including a capital markets union and harmonised regulations, are met with resistance from member states guarding national interests. The EU’s budget, at €2 trillion for 2021–2027, is substantial but insufficient to address cross-border challenges like defence or green energy transitions. Moreover, the Council of Ministers’ veto system hampers swift decision-making, stalling progress on critical issues like a unified defence policy or fiscal coordination.

The EU’s social model, with 26.8% of GDP spent on welfare in 2023, is a point of pride but also a burden. High public debt in countries like Greece, Italy, and France, all exceeding 100% of GDP, limits fiscal flexibility. Austerity policies in the past have stifled growth, and the bloc’s projected population decline—to 420 million by 2100—raises concerns about sustaining this model amid an ageing workforce.

Geopolitical fragmentation exacerbates these challenges. The EU’s trade openness, with extra-EU trade exceeding 40% of GDP, makes it vulnerable to global disruptions. Initiatives like the Global Gateway aim to build resilient supply chains, but they compete with China’s Belt and Road and face internal coordination hurdles. Meanwhile, the euro, the world’s second most traded currency, is under scrutiny as global debt levels soar and the U.S. dollar’s dominance raises questions about financial stability.

Europe’s tourism sector, a bright spot, underscores its cultural and economic allure, accounting for 60% of global international visitors. Yet, even this strength is at risk from economic uncertainty and potential trade wars, which could deter visitors and disrupt the 1.1 billion annual tourism trips by EU residents.

The EU stands at a crossroads. Its unique blend of free-market principles and social welfare, coupled with an integrated single market, has long been a global model. However, without bold reforms—streamlining regulations, boosting innovation, diversifying energy sources, and deepening integration—the bloc risks undermining its economic vitality. The path forward demands urgency and unity, lest Europe’s economic legacy becomes a cautionary tale.



Featured


Marhabaan, welcome to the UAE and Dubai!

Marhabaan, welcome to the UAE and Dubai! The "skyward striving" Dubai next to ancient desert cities. Mysterious Bedouins and magnificent mosques exist peacefully alongside futuristic cities. Discover wadis and oases, golden sandy deserts, paradisiacal beaches and Arabian hospitality. The modern and the ancient Orient united in a book for dreaming.On this journey to Dubai and Abu Dhabi in the United Arab Emirates, the fairy tales of 1001 Arabian Nights meet the modern Arab world. These cascading cities enchant with their sky-high skyscrapers, fragrant souks, huge shopping centres and the ancient cultural heritage of the sheikhs.You can choose to stay in 4- or 5-star hotels with breakfast and swimming pools. You also have more options to book excursions so you can feel the magic of the East even more. If you want to do something out of the ordinary, you can spend an extra night in an enchanting hotel in the middle of the emirate's desert. Experience your own fairytale from 1001 nights and look forward to a holiday with plenty of casual extravagance in two superlative desert cities!

Trade and business at the Dubai Gold Souk

If Naif Deira is associated with a specific context, organization, or field, providing more details could help me offer more relevant information. Keep in mind that privacy considerations and ethical guidelines limit the amount of information available about private individuals, especially those who are not public figures. The Dubai Gold Souk is one of the most famous gold markets in the world and is located in the heart of Dubai's commercial business district in Deira. It's a traditional market where you can find a wide variety of gold, silver, and precious stone jewelry. The Gold Souk is known for its extensive selection of jewelry, including rings, bracelets, necklaces, and earrings, often crafted with intricate designs.Variety: The Gold Souk offers a vast array of jewelry designs, with a focus on gold. You can find items ranging from traditional to modern styles.Competitive Pricing: The market is known for its competitive pricing, and bargaining is a common practice. Prices are typically based on the weight of the gold and the craftsmanship involved.Gold and More: While gold is the primary focus, the souk also offers other precious metals such as silver and platinum, as well as a selection of gemstones.Cultural Experience: Visiting the Gold Souk provides not only a shopping experience but also a glimpse into the traditional trading culture of Dubai. The vibrant market is a popular destination for both tourists and locals.Security: The market is generally safe, and there are numerous shops with security measures in place. However, as with any crowded area, it's advisable to take standard precautions regarding personal belongings.Gold Souk is just one part of the larger Deira Souk complex, which also includes the Spice Souk and the Textile Souk. It's a must-visit for those interested in jewelry, and it reflects the rich cultural and trading history of Dubai.

Dubai: Amazing City Center, Night Walking Tour

During this excursion, we leisurely explore Dubai Downtown and Burj Khalifa in the evening, giving you the chance to witness the captivating transformation of the district as it comes alive with the vibrant glow of thousands of lights. As the sun sets, the illuminated facade of Burj Khalifa and the enchanting Dubai Fountain collaborate to produce a genuinely magical atmosphere.Dubai Downtown, also known as Downtown Dubai, is a distinguished and iconic district situated in the heart of Dubai, United Arab Emirates. It is a renowned neighborhood celebrated for its striking architecture, luxurious living, and exceptional entertainment options. At the core of Downtown Dubai stands the Burj Khalifa, a towering skyscraper that holds the title of the world's tallest man-made structure and serves as an emblem of modern Dubai.Burj Khalifa: The focal point of Downtown Dubai, Burj Khalifa, is famous for its groundbreaking height, reaching an impressive 828 meters (2,722 feet). Designed by architect Adrian Smith, its distinctive Y-shaped design encompasses a mix of residential, commercial, and hotel spaces.Dubai Mall: Adjacent to Burj Khalifa is the Dubai Mall, one of the largest shopping malls globally, featuring an extensive array of retail outlets, from high-end boutiques to international brands. The mall also provides various dining options, and entertainment attractions like an indoor ice rink and an aquarium, and hosts the mesmerizing Dubai Fountain.Dubai Fountain: Located just outside the Dubai Mall, the Dubai Fountain is a captivating attraction that presents a nightly spectacle of water, music, and light, captivating visitors with its perfectly synchronized performances.Emaar Boulevard: Stretching through Downtown Dubai, this boulevard is adorned with restaurants, cafes, and shops, making it a popular spot for leisurely strolls, dining, and people-watching.Luxury Living: Downtown Dubai boasts numerous upscale residential buildings and hotels, making it an appealing locale for those seeking a sophisticated urban lifestyle.Cultural Attractions: The Dubai Opera, an iconic cultural venue within the district, hosts a diverse range of performances, including opera, ballet, concerts, and theater productions.Transportation: Downtown Dubai is well-connected through public transportation, including the Dubai Metro, facilitating easy access to other parts of the city.In summary, Downtown Dubai is a dynamic and vibrant district that stands as a testament to Dubai's modernity and grandeur. It seamlessly combines architectural wonders with shopping, entertainment, and cultural offerings, creating a truly extraordinary destination.