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Euro 'Will Continue to Exist' Despite US Ambassador's Predictions of Collapse

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The future US ambassador to the EU should not jump to conclusions regarding the possible collapse of the euro, Claus Vistesen, Chief Eurozone Economist at Pantheon Macroeconomics, a research consultancy, told Sputnik.

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In an interview with Sputnik, Claus Vistesen, Chief Eurozone Economist at the research consultancy Pantheon Macroeconomics, warned against jumping to conclusions about the fate of the euro.

The interview came after the man, who's poised to become America's new ambassador to the EU, said that the euro could collapse in less than a couple of years.

In an interview with the BBC, released on Wednesday, Professor Ted Malloch said that the single currency could break down in just 18 months. Moreover, US president Trump's economic advisor questioned the European Union’s overall future.

In the same interview, Malloch spoke about Brexit benefits with respect to US-UK relations. He even hinted that Britain could sign a free trade deal with America in as little as three months.

The UK decided to cut ties with the European Union in a nationwide referendum which took place on June 23rd last year.

The decision was hailed by then-US presidential candidate Donald Trump, who described it as a great victory of ordinary people against the global elite.

Speaking to Sputnik, Claus Vistesen emphasized that Ted Malloch was wrong when he said that the euro will collapse.

"I think the euro will be sustained and it will continue to exist," Vistesen said, also referring to the Eurozone, which he described as a political and economic project.

He questioned Malloch's prediction about the euro's collapse in 18 months, pointing to France, which he said will certainly be unready to drop the euro within this period of time, especially under the possible new President Marine Le Pen.

"At the same time, the risk increased for the Eurozone project in the last year most clearly because we now have politicians within who openly talks about the reshaping the Eurozone," he said.

As far as Brexit is concerned, it will have an impact on the EU rather than the euro, according to Vistesen.

"The main relationship between the UK, Brexit and the EU will be how the EU will potentially move to change the political landscape in Europe," he said.

Meanwhile, French presidential hopeful Emmanuel Macron said that the euro could collapse within a decade without serious reform, and that the current system benefits Germany at the expense of other, weaker member states.

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Speaking at an event at Berlin's Humboldt University earlier this month, Macron warned that sthe single currency would not survive in its current state.

"It has not provided Europe with full international sovereignty against the dollar on its rules. It has not provided Europe with a natural convergence between the different member states," he said.

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