Saturday, January 18, 2025

Brussels Edition: Downgrading Davos

This year, Dutch attendance at Davos will be noticeably scaled back, driven by pushback from far-right party leader Geert Wilders, who helms the ruling coalition
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Welcome to the weekend issue of Brussels Edition, Bloomberg's daily briefing on what matters most in the heart of the European Union. Join us on Saturdays for deeper dives from our bureaus across Europe.

AMSTERDAM — The Netherlands has long been a fixture at the World Economic Forum in Davos with many cabinet members attending alongside the prime minister.

This year, however, Dutch attendance will be noticeably scaled back, largely driven by pushback from far-right party leader Geert Wilders, who helms the ruling coalition.

The country is sending the lowest number of cabinet members in more than a decade to the event, which starts Monday.  

Wilders last week posted on social media that no government official affiliated with his party would attend. 

Dutch Economic Affairs Minister Dirk Beljaarts, a member of the Wilders' Party for Freedom, had initially planned to be in Davos, but then pulled out. A spokesperson cited a busy schedule and other commitments. Local news outlets reported he was barred from attending because Wilders didn't grant permission.

At the 2024 gathering, then-premier Mark Rutte attended with five other ministers, including Beljaarts' predecessor. This year, Prime Minister Dick Schoof will bring along only two ministers.

Wilders, a vocal eurosceptic, has been blasting the Davos conference for years. When a record number of Dutch cabinet members were set to attend in 2023, Wilders complained that the country's parliament canceled debates so that "globalists" would "be able to discuss us in secret."

Schoof, a former spy chief who was a compromise choice to lead the government and doesn't belong to a political party, is sticking with his travel plans. "I am there myself because I think it is important for the Netherlands," he said.

Wilders' party secured the most seats in the November 2023 elections, but the politician was forced to abandon his bid to become prime minister in order to forge alliances to form the most right-wing government in decades

Wilders, who is sometimes called the Dutch Donald Trump, isn't the only political figure who dislikes the event. Turkey's President Recep Tayyip Erdogan extended the country's Gaza war-related boycott of the forum for another year, with top economic officials set to skip this month's gathering.

Cagan Koc, Amsterdam bureau chief

LIVE FROM DAVOS: Get the Economics Daily newsletter for full on-the-ground coverage of the World Economic Forum.

Weekend Reads

Russia Minorities in Baltics Told to Fit In or Face Consequences

Estonia last fall required more than four dozen Russian schools to change their language of instruction to Estonian as part of a wide-ranging campaign to stamp out the Kremlin's influence since the invasion of Ukraine. The approach is backed by a public wary of what Vladimir Putin might do next. But the measures risk increasing support for Russia and playing into the Kremlin narrative that Russophobia is being fomented by Western capitals.

VW Bracing for Another Tricky Year With No New Electric Cars

Volkswagen had a poor 2024, with sales falling and Europe's biggest automaker even raising the prospect of closing factories in Germany. This year could be even worse.

Billionaire Clans Jostle for Power as Italy Bank M&A Accelerates

Two of Italy's most prominent billionaire clans are emerging as key power brokers in the biggest reshaping of the country's banking industry for more than a decade. The Del Vecchios, who control Ray-Ban maker EssilorLuxottica, and construction tycoon Francesco Gaetano Caltagirone have both built big stakes in Monte Paschi. Together, the families now wield a combined €15 billion of financial services investments in Italy — and plan to make their voices heard.

Jared Kushner Bets on a Trump Hotel With Emirati Billionaire

Rendering of the Trump Hotel Belgrade. Photographer: Studio Genesis

As Donald Trump returns to the White House, his son-in-law Jared Kushner is embarking on a business venture overseas that will bear the Trump name. Affinity Partners, the investment firm Kushner founded after the first term, and Emirati billionaire Mohamed Alabbar will develop a luxury hotel and apartment complex in Serbia's capital, Belgrade, on the site of the former Yugoslav defense ministry.

Spain Property Firms Slam Sanchez Bid to Slug Foreigners on Tax

Spain's plans to discourage foreigners from buying residential property will likely hit resort towns and developers of luxury homes, but will do little to overcome the housing shortage that's squeezing locals. Even before Prime Minister Pedro Sanchez's plan reaches Spain's fragmented parliament — where it could be diluted or killed — it was dismissed as ineffective grandstanding. 

Luxury Train Travel Is Booming. Here Are the Trips to Book Now

The L'Observatoire suite on the Venice Simplon-Orient-Express, with an oculus over the bed. Source: Belmond

In 2025 the most luxurious new hotel room may be on wheels. L'Observatoire, a two-person suite on Belmond's Venice Simplon-Orient-Express, will command rates of £80,000 ($101,000) per night when it enters service in March, making it the most expensive train cabin ever.

This Week in Europe

  • Monday: Euro-area finance ministers meet in Brussels, World Economic Forum meeting opens in Davos
  • Tuesday: EU finance ministers meet in Brussels; Commission President Ursula von der Leyen delivers speech in Davos
  • Wednesday: Von der Leyen and Council President Antonio Costa speak to European Parliament on the last EU summit 
  • Thursday: NATO chief Mark Rutte among speakers at Davos
  • Friday: ECB President Christine Lagarde speaks on global economic outlook panel at Davos

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