Challenges Facing Modern-day Europe

The world is divided into seven continents based on their physical geography. Europe is the third largest continent and covers around 2 percent of the Earth surface and has a total population of 741 million that is 15 percent of the World's population. Arctic Ocean lies at its north; the Atlantic Ocean rests at its west and Mediterranean Sea to its South. Europe was formed in 1949 and has 28 members.

As it says

A poor man runs for food, rich man runs to digest the food

Similarly, as every country is marred with various challenges, sometimes external and at times internal; likewise, Europe, considered as richest, peaceful and well developed continent, is also facing chilling challenges these days. The range of issues include both external as well as internal ones.

Following are the challenges facing modern-day Europe

BREXIT:

When the United Kingdom went for a referendum to either remain or exit EU bloc in 2016, the shocking result voted in leaving the bloc with 51.89 percent while the percentage for remaining in the bloc was put out as 48.11 percent. The referendum result sent shock waves not only in the United Kingdom but in the European Union as well. The fraction of difference in the referendum result also showed the grave split among Britons regarding Brexit. The then UK Prime Minister David Cameron also resigned as a result of shocking referendum results.

Following referendum, the United Kingdom went for divorce talks with European Union. Considered as the toughest talks of the history, number of back-to-back meetings are being held to negotiate on range of issues including customs, trade, future of British nationals in EU and European nationals in UK. EU will face economic woes when the United Kingdom will eventually leave the bloc.

Currently, the trade volume between UK and EU stands at 1196 billion Euros. In terms of subsidiaries, there are 1300 German subsidiaries in the United Kingdom and 25000 British companies with a branch in Germany which is employing 2.6 million workers. UK companies in Europe and European countries in UK will not enjoy this status after UK will officially exit the EU.

Secondly, UK is the second biggest economy of Europe. Brexit will also incur economic woes for EU, thus further weakening the euro and also giving extra power to Germany to control Europe. It should be remembered that Germany is the biggest EU economy.

Influx of Immigrants:

From 2015, Europe has been witnessing a huge migrant influx. Nearly 1.1 million migrants reached only in Germany in 2015. The main course for migrants to enter Europe is either through Mediterranean sea or Southeast Europe. These migrants include asylum seekers or economic migrants. Their countries of origin are Syria, Afghanistan and Iraq. They seek asylum in order to flee persecution or human rights violations which are rampant in their origin countries.

It should be remembered here that Europe once struck a deal with Turkey to stop the migrant flux. Turkey lies in Eurasia, and Mediterranean sea flows between Turkey and Europe. Besides, as Turkey also demands European membership, Europe and Turkey struck a deal that Turkey would stop migrant flow into Europe and Europe will start deliberating Turkey's EU membership. As per the agreement, Turkey started impeding migrant flow to Europe. But Europe did not ponder giving Turkey its membership. Consequently, Turkey left impeding migrant movement. From Mediterranean Sea, migrants enter Greece, which is considered as weakest EU economy. Eventually, Greece called for help from its EU members to share the burden of migrants. Therefore, the migrants crisis started getting deeper and deeper.

The second route to Europe is from Libya. We have seen scores of migrants reaching European mainland in Italy on dinghies through Libya. Italy is staunch opponent of migrants. Italy also struck a deal with Libyan coast guard to halt the migrant flux. As a result, there had been a reduction in migrant flux but to a little extant. Still migrants are reaching through Libya to Italy. During this venture, it is estimated that thousand of migrants have also lost their lives. 

We have witnessed a deep rift among European leaders regarding the migrant flow. As few EU members heads are not ready to take in migrants. European largest economy is also facing rift among its leaders. Recently, German Chancellor Angela Merkel also lost her strength in the government due to her migration policy. Consequently, she had to form a fragile coalition government.

Point to ponder is, countries with most refugees are Turkey, Jordon and Pakistan. Jordon and Pakistan have timid economies and still they are regarded as countries with largest refugees. As far as Europe is considered, it is 28-member bloc with consolidated economies and still it does not want to take migrants. It also raises question over Europe's human rights policy. Europe is considered as a group of civilized nations whereas Pakistan, Jordon are third world countries. But in terms of hosting refugees, third world countries are behaving in more civilized manners. If possible, Europe must engage these migrants in more productive way and instead of turning them into beggars, devise ways for them to earn.

Terrorism:

One of the serious and toughest challenges facing modern world is of terrorism. Europe is no different to it as well. We have been witnessing a spate of terrorism in various parts of Europe. Terrorists have strike those areas as well which is reportedly said to have experienced first blast of its history.

The infamous one is of Paris attack in 2015; where, terrorists stormed the French capital with mass shooting and suicide bombings. As a result, 130 people were killed. The attack was the deadliest in the history of France after Second World War. The attack sent shock waves across whole Europe.

Berlin, Germany's capital, also witnessed a terrorist attack in 2016 when a truck was deliberately driven into the Christmas market and killed nearly 12 and 56 others sustained injuries.  

Brussels, Belgium and EU capital, also became a victim of recent terror attack in Europe. As per the reports, three coordinated suicide bombing hit Belgium, two at Brussels airport and one at metro station. As a result, over 300 people sustained injuries.

These aforementioned attacks shows the vulnerability of Europe to terror attacks. It is also the gravest challenge facing modern day Europe.

Uncertain Euro:

ECB's Draghi says euro strength is a source of uncertainty

The common currency has rallied 5 percent against the dollar in recent weeks, complicating the ECB’s path out of its massive stimulus program by threatening to curb a tepid recovery in euro zone inflation.

“The recent volatility in the exchange rate represents a source of uncertainty which requires monitoring with regard to its possible implications for the medium-term outlook for price stability,” Draghi told a news conference following the ECB’s regular policy meeting.

A stronger currency makes exports from the bloc dearer and imports cheaper, undoing some of the ECB’s multi-trillion euro efforts to stimulate price growth in the euro zone.

The rally in the euro EUR= against the dollar has been given fresh momentum this week by U.S. Treasury Secretary Steven Mnuchin, who welcomed a weakening of the greenback.

Draghi had said in a letter published on Wednesday that exchange rate shifts were a side effect, not the objective, of ECB policy. Reference: https://www.reuters.com/article/us-ecb-policy-forex/ecbs-draghi-says-euro-strength-is-a-source-of-uncertainty-idUSKBN1FE1YX

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