Paul Goldschmidt joined Goldman Sachs in New York (1962-1969) and was appointed as a Director of Goldman Sachs International in London (1970-1985). After seven years as a financial consultant in London and Monaco (1985-1993), he became Director of the “Financial Operations Service,” part of the Directorate General for Economic and Financial Affairs at the European Commission (1993-2002). In that capacity, he played a key role in the harmonization and reform of European financial markets before and during the advent of the euro. He also served on the Board of Directors of the European Investment Fund (2001-2002). Since his retirement in 2002, he has been writing on European political and financial matters and has actively participated in many international conferences.
 
Contacts
Résidence “Les Eaux Vives” Apt. N° WX2 89
Avenue Jean et Pierre Carsoel 1180
Brussels

+32 (0)2 3736330
 +32 (0)497 54 92 59
pn.goldschmidt@gmail.com
European, Politics

How on earth did we get here?

Europe and the World in search of reference points! (Texte of a presentation to the Demi-Siècle – Cercle de Bruxelles on April 27th 2022) Dear friends of the Demi-Siècle,        When two months ago our President asked me to speak to you this evening, I agreed, noting that it was impossible for me to be specific about the subject, as the horizon seemed to be so cloudy. The military operations in Ukraine had not started, the outcome of the French elections was uncertain, the health crisis was mutating, inflation was threatening, and so on. While some of these threats are now a fact, the future remains just as unpredictable and in some ways even more frightening. Rather than commenting on current…

Continue reading
European, Politics

French presidential elections.

In the current situation, abstention is a denial of democracy and a culpable abandonment of responsibility. In a tense climate where the majority of voters are torn between “rejection” and “refusal”, it is very tempting to give one’s preference to go fishing! Those who choose to abstain, however they express it – blank vote, neither-nor or abstention – are cowards. They knowingly abandon to their compatriots the privilege, dearly acquired by our elders, sometimes at the price of heavy sacrifices, of determining who will govern France for the next five years. If the result of the poll did not have such existential consequences for the Nation, involving the challenging of fundamental rights enshrined in the Constitution, of democracy itself or…

Continue reading
European, Politics

The election of Marine Le Pen would lead to the paralysis of the EU and the reinforcement of inflation.

It would also allow Vladimir Putin to reach immediately his objective of restoring Russia’s imperialist power. The results of the first round of the presidential elections reveal the deepening fracture in the French electorate. The extremist forces jointly represent a majority of the votes cast, even if their internal divisions favor, in principle, the re-election of the outgoing president. Unless there is a dramatic turnaround in the legislative elections to follow, the country risks being ungovernable and unable to implement long overdue reforms.  This unprecedented state of the French political landscape needs to be addressed with pertinent arguments that take into account the current national and geopolitical context; one should abandon hopes that rely on the outdated recipes of demonization…

Continue reading
European, Politics

Proposals for new sanctions.

It is imperative to respond positively to Ukraine’s request. In light of the escalation of the abuses committed by the Russian army in the theatre of operations in Ukraine, the scale of the humanitarian crisis requires the international community to considerably strengthen the sanctions taken against the aggressor. The discussions concerning the embargo on the purchase of hydrocarbons by the European Union have stalled for lack of unanimity. It is urgent to respond to Ukraine’s request by other means and to take sanctions capable, if not of hindering military operations in the short term, at least of offering a perspective that strengthens the hopes and the spirit of resistance of the martyred nation. The efforts being made on the ground,…

Continue reading
European, Politics, Uncategorized

Call for an immediate embargo on Russian gas!

Waiting for Putin to take the initiative would make the cut-off no longer a sanction. The European Union is tearing itself apart over the question of stopping Russian gas and oil imports. It thus assumes, without a qualm, the opprobrium of financing the Russian war effort to the detriment of imperative humanitarian considerations, relayed by the unbearable spectacle of the exactions and suffering endured by the Ukrainians. This iniquitous stance, justified by the need to maintain the fragile, barely reestablished “unity” of the 27, is precisely what will definitively destroy it. The argument that the suspension of hydrocarbon purchases will be enacted “as soon as possible” is a peak of hypocrisy, rarely reached and reminds us of this sentence of…

Continue reading
European, Politics

The unprecedented sanctions regime against Russia calls for a reform of global governance.

The European Union must urgently expand the Eurozone to the 27 to assert its interests! The IMF Deputy Director, Gita Gopinath, in a much-publicized speech, indicated that currencies, other than the dollar, would play a more important role in the foreign exchange reserves of nations. I had already drawn attention to this phenomenon in my article of 17 March entitled “Financial sanctions against Russia” to which I refer you. Ms Gopinath makes a very pertinent distinction between the use of the dollar as a reserve currency, which she sees diminishing significantly in favor of other currencies to allow for diversification of exchange rate risks (in value and freedom of access), and its role as the transaction currency of choice, which…

Continue reading
European, Politics

Ukraine: Solidarity and Sovereignty.

Sovereigntists and nationalists have shot themselves in the foot! March10, 2022 Putin’s unilateral armed aggression and phantasmal but evocative rhetoric of “denazification” against Ukraine have contributed decisively to the realization in Europe of the need for unwavering EU solidarity so that its Members can share real “European sovereignty” instead of pretending to exercise a “national sovereignty” that has become visibly phoney. President Macron in particular, but also many other political leaders, have emphasized the painful sacrifices that citizens must be prepared to make as well as the high financial costs to be incurred that will have to be shared fairly by protecting first and foremost the weakest segments of the population. At the same time, the sovereigntist speeches of the…

Continue reading
European, Politics

The financial sanctions against Russia.

Its geopolitical consequences are a prelude to a fundamental upheaval of international financial markets and the world! Brussels, 17th March, 2022 The sanctions against Russia were surprising both in their scope and speed of implementation as well as by the unprecedented coordination between the governments responsible for the supervision of the world’s major financial centers. While financial sanctions are not a new weapon in the arsenal of punitive measures that can be deployed to exert pressure from one state on another, their use in the context of the Ukrainian crisis raises their effectiveness to a new level. Its consequences, particularly on the functioning of financial markets, adding to existing challenges including: –           Their pervasive distortions resulting from the massive interventions…

Continue reading
Economic and Financial

A new set of sanctions against Russia.

Deciphering the mechanisms for the uninitiated. FEBRUARY 27, 2022 Note: this article was written before the announcement of the exclusion of some Russian banks from the SWIFT secure payment messaging system. This does not change the explanations aimed at informing the reader about the mechanisms underlying the envisaged sanctions. Statements by political leaders as well as media programs or publications make numerous references to the unprecedented and severe nature of the sanctions that are aim to inflict maximum damage on the Russian economy in the medium and long term and whose effects could weaken President Putin’s authoritarian regime. The citizen, if he is not a technician of financial circuits, is obliged to accept with confidence the declarations concerning the sanction’s…

Continue reading
European, Politics

Munich 2022: Peace in our time?

The Russian provocation must prompt a response from the 27 EU Member States that turns Putin’s initial tactical victory into a long-term strategic defeat. Brussels, 22 February 2022 It is pointless to add any further opinion to the speculation about developments in the next few weeks or months in the 8-year old conflict between Ukraine and Russia over the annexation of Crimea. Undoubtedly, the inevitable sanctions that the EU, the US and Britain will impose will be commented on in terms of their effectiveness, their consequences for all parties and will reveal, more or less quickly, the dissensions in the Western camp. It is likely that the situation will become bogged down in a status quo, de facto rewarding Putin’s…

Continue reading