Derk Jan Eppink (ECR, Belgium) discusses the sovereign debt crisis and advocates a parallel currency. Marek Siwiec (S&D, Poland) urges patient pressure on Ukraine.

7 Days: Can the euro be saved? What to do about Ukraine

https://api.multimedia.europarl.europa.eu/documents/20125/16000253/m004-0035-en_mf.srt

as we discuss the stories  behind the headlines.

Today, yet again,  we're looking at the sovereign debt crisis.

Spain is finding it harder  to raise finance internationally

after injecting €19 billion  into its fourth-largest bank, Bankia.

Investors have started taking money  out of both Spain and Italy.

So can the integrity of the euro  still be saved?

To discuss that with me  I welcome Derk Jan Eppink,

a Belgian member of the European  Conservatives and Reformists

But we start as we always do  with the Yes-No sequence

when I ask a series of questions to which  I'd like you to answer only yes or no.

EU leaders have met 13 times  in the last two years over the crisis.

Are they any nearer to a solution?  -No.

Was the plan doomed from the outset?  -Yes.

It was badly planned, in your view?  -Yes.

Mariano Rajoy says Spain is the victim  of economic problems elsewhere.

He also said the European Stability  Mechanism should have a banking licence.

If Greece votes for anti-austerity parties,

Would the EU be able to recover  from a Greek default and departure?

Is German intransigence  partly to blame for the crisis?

Are eurobonds a good idea to fund things?  -No.

Is it right for EU economies to be  so exposed to the whims of the markets?

If Greece defaults, is the ECB bankrupt?

Time's up, and on that dramatic note  thank you very much for taking part.

Before we discuss  the sovereign debt issue,

we have this short report  on current events.

The meeting of the EU and  African, Caribbean and Pacific states

At the start of debates, MEP Louis Michel,  Co-President of the Joint Assembly,

highlighted the consequences  of the Libyan conflict on the Sahel region.

With no political or military intervention,  the crisis in Mali may spread

to neighbouring countries like Niger,  Mauritania and Senegal, he said.

Six major projects in Europe are set  to boost growth starting in July.

On Thursday MEPs were to vote  on new funding of 230 million euros

These new bonds jointly launched  by several EU countries

will allow up to 4.5 billion euros to be raised

to fund major infrastructure projects  on the continent

in the areas of transport,  energy, or the digital economy.

New fishing regulations in Europe. On  Thursday MEPs were to vote on new rules

concerning the organisation  of fisheries and aquaculture,

the equivalent of the CAP in agriculture.

The system dating from 1970  needs to be adapted

given the new challenges  of scarcer resources

The aim is to improve management  of marine resources

You're watching 7 Days in Europe.  Derk Jan Eppink, you're my guest today.

We'll talk about the crisis in sovereign debt  in Greece, Spain and Italy, and so on.

You say that the euro  is really beyond saving in your view.

It will have to be reshaped and reformed

because the way it is now  is not sustainable.

For too many countries,  the euro has become too expensive.

Many countries have lost  their competitiveness as a result.

or, as Deutsche Bank, I think, suggested,

to introduce the 'geuro', which was like  a Greek version of the euro,

because people wouldn't be able  to buy fuel or any imports?

What will happen if Greece defaults is that  it will have to return to a national currency.

It will also lose productivity  and fall in a hole.

It will have no growth at all,  which they haven't had so far.

But they will regain competitiveness sooner  and that is what Greece needs.

I went to Greece two weeks ago  and the problem is there are no tourists.

It's too expensive.  It has priced itself out of the market

Greece has been living beyond its means.

The first thing they must do  is to regain competitiveness.

The media attacked Greece, saying Greek  people were lazy and didn't work hard.

But, according to statistics, they work  longer hours than the average German.

What happened is that Greece  has been living beyond its means.

Perhaps they work longer, but the cost of  wages and labour have increased by 30%

compared to German wages.  That's why it's too expensive.

So the Greeks want to stay in the euro,  but they are against austerity.

They want the euro for free  and that's not possible.

So they'll have to reform their economy  and regain competitiveness soon,

because competitiveness is  the fertile ground for economic activity.

You see now that the ground is drying out,  the soil is drying out,

and companies and investors  are going away and nothing will be left.

the effect of reverting  to the drachma, for instance,

would be devastating on the ECB because  it holds so much Greek government debt.

This has been the mistake of the ECB  all along, to buy Greek bonds.

It never should have done it. I've been  part of a procedure against the ECB

together with a German professor,  Mr Kerber,

because the ECB was going the wrong way.