On the upside, this court ruling puts the pressure back on governments across the EU and the euro area
to finally rise up to the challenge of taking forward-looking decisions on how to deal with the large deficits and rapidly rising sovereign debt burdens across the euro area. As
I have written earlier, such a decision should be taken by democratically elected and directly accountable governments rather than independent and indirectly accountable central banks. There is a strong case for loss sharing within the EU and/or the euro
area, on economic, political and moral grounds. There are certainly different structures and mechanisms that one can think of, but burdening again the ECB with the main responsibility to deal with the fallout from the COVID-19 crisis should be avoided, even
more so with this court ruling.