Highlights of the week of May 22-28
Expected default in the US seems to be indefinitely postponed, the second round of presidential elections is over in Turkey and Europe is debating sanctions. This week's highlights.
Biden says agreements reached
The US is still on the brink of default. Its reserves are running out, and with them, key financial and social institutions such as the pension fund could collapse.
But Joe Biden says the Republican Party has reached an agreement with Congress that will prevent the country from sliding into its first-ever default.
The negotiating groups should finalize the legislation and send it to the House and Senate for approval. Of course, the Senate could reject the document, but Biden urged against it.
Kevin McCarthy, the Speaker of the House of Representatives, also said that agreements were reached. He was the one who accused Biden of inaction a few weeks ago.
The second round of elections concluded in Turkey
While the first round went relatively smoothly, none of the three candidates was able to secure the decisive 50% of the vote. The two main competitors, Recep Erdogan and Kemal Kılıçdaroğlu, were literally a few precious points away from an outright victory.
The opposition was confident that in the event of a second round, Kılıçdaroğlu would win the popular vote for Sinan Oğan. This will only be known after the ballots have been counted.
However, there is one circumstance that could complicate the situation. Kemal Kılıçdaroğlu broke the law by sending campaign messages to voters in one of Turkey's regions on 27 May. It is not yet known whether there will be any sanctions for such a violation. Nevertheless, it was a risky move for a potential president.
Hungary and Greece have blocked the 11th sanctions package
Talks on new restrictions on Russia have stalled after both countries categorically refused to sign the agreement. The new package of sanctions could be unprecedented: as it is not designed to squeeze Russia economically, but to prevent sanctions from being bypassed. This means that other countries that help Moscow wage war could also be sanctioned.
While Hungary has long opposed the EU on various issues, no one expected such a stance from Greece. Analysts say Hungary and Greece are using the sanctions as a political bargaining chip. Both countries refer to the list of "war-supporting companies" drawn up by Kyiv. A key demand of the states remains the exclusion of certain European companies from the list. Such a confrontation has greatly complicated the EU ministerial meeting at which the sanctions were discussed.
The two countries are now in different positions, which is worth understanding. And while Greece can be forgiven for such a protest, Hungary has long been known for its pro-Russian stance, which has often prevented the EU from adopting certain agreements. The EU's disillusionment with Hungary is growing with every meeting, and where this will lead is hard to predict.
