BRUSSELS, February 28. /TASS/. French President Emmanuel Macron's statement on the possibility of sending troops from European NATO member states to Ukraine may lead to an increased outflow of capital from Europe, primarily to the US, a source in financial circles of Brussels told TASS.
"This is a signal about the increased risk of long-term investments in the European economy, and it will contribute to further capital outflow from Europe. First of all to the US," the source said.
"Today, geopolitical risks are closely scrutinized by investors, especially when making long-term decisions related to investments in industry. Statements about the possible direct involvement of the military of EU states in the war in Ukraine send a serious signal about the threat of escalation and spillover of hostilities beyond the borders of this country. This very possibility, voiced by the head of state, becomes a serious risk that must be taken into account," he emphasized.
US support
The source recalled that the process of capital outflow from EU countries "has accelerated in the last two years." This is mainly due to the "unfavorable economic situation in Europe," rising energy prices, slower economic growth, lower domestic consumption, higher taxes in many countries of the community.
"It would not be an exaggeration to say that the uncertainty associated with the EU's significant involvement in the conflict in Ukraine is already having a systemic negative impact on Europe's investment attractiveness," he said.
"In turn, the US is actively supporting the process of capital outflow from Europe, especially the relocation of industrial production, by creating favorable conditions for it. For example, the law to reduce inflation, adopted in the summer of 2022, works in this direction," the source explained.
Macron's statement
After a conference on Ukraine in Paris on February 26, French President Emmanuel Macron said that he did not rule out that land forces from Western countries could be sent to the zone of special military operation. He also said that Western counties were "determined to do everything it takes to prevent Russia" from gaining the upper hand in the conflict.
Commenting on Macron's remarks, Kremlin Spokesman Dmitry Peskov pointed out that if Western troops were sent to Ukraine, a direct military conflict between NATO and Russia would be inevitable. He added that the NATO members should be aware of this and "ask themselves whether this is in their interests and, above all, in the interests of the citizens of their countries.".