The German Supreme Court ruling is a major setback for the European Union project. This is exactly the bureaucrats and those in support of the project are making quite some noise and struggling. The European Commission and ECB are maximizing pressure. It is also the most serious setback we saw in the EU since the British people had the Brexit referendum.
The Brussels bureaucracy will do everything to restore its power over the member states.
It could be the case that the European Commission is starting some investigations against the German state. This will be simply some leverage against the German government and its highest Court.
If we look at the big reasons that the German Court said the ECB -policies are unconstitutional brings Brussels bureaucracy into action. They are pushing back.
Therefore it is expected that 2 things will happen:
- The ECB must state reasons for all of its actions,
- The ECB policies must be within proportions and being reviewed,
It is a good thing that the central banks are subject to legal review.
The German Bundesbank is ordered to no longer participate in the bond purchase program or other quantitative easing programs by the ECB.
But bureaucrats had a solution. Simply use the budget from the European Union to compensate for the German money. Here comes a big problem: there is no mandate for this. The ECB is not allowed to do this.
Just expect what happens when this is taken to Court?
So with the current situation, there are no big steps to expect to happen from Brussels. So the big problems of the European Union are not being solved. They just continue to kick the can down the road.