President François Hollande tells Japan the eurozone crisis is over

During a speech on his last day in Japan to business leaders, French President François Hollande said the eurozone debt crisis is over, but admitted efforts are still needed to boost the region’s growth and competitiveness.

François Hollande in Tokyo on Friday REUTERS/Junko Kimura

It was an attempt on the part of Hollande to soothe and alleviate any fears Japanese businesses may have in Europe. He added that the potentially destructive debt crisis has served to “reinforce” Europe and encourage greater integration of the 17 member states that use the euro.

He went on to say that authorities are developing tools to ensure greater stability and solidarity, such as a Europe-wide banking union and budgetary rules.

“What you need to understand here in Japan is that the crisis in Europe is over. And that we can work together, France and Japan, to open new doors for economic progress” Hollande said in his speech.

The eurozone debt crisis that sprung up just at the end of 2009 has eased, although the regions' collective economy shrunk for six straight quarters and enemployment reached an all time high of 12.2 percent, the highest since the euro came into circulation in 1999.

Hollande said Europe needs to concentrate more on taking the necessary steps to promote growth and competitiveness to ensure “we can have a better presence in the world”.

He also noted his proposal to create a common economic government for the eurozone that would define economic policies.

Calling Japan an “exceptional partner”, the French president urged both countries to invest more in each other.

During the three day visit, both countries agreed to intensify their cooperation on nuclear technology. Currently, Japan’s Mitsubishi Heavy Industries and France’s Areva are working together on the construction of a reactor in Turkey.