The painful reforms chosen by French voters to rejuvenate their sluggish economy have smoothed the way for Nicolas Sarkozy to take up France’s top political job. The 52-year-old leader of the ruling right-wing Union for a Popular Movement edged out Segolene Royal, of the left-wing Socialist Party, in the presidential runoff on May 6 with 53.06 percent of the vote. He replaced retiring president Jacques Chirac, who is 22 years his senior, on May 16.
Sarkozy has promised to restore “the pride of being French,” as well as revive the French economy and bring down the unemployment rate from the current 8.3 percent to below 5 percent. Yet he is faced with a difficult task to fulfill that pledge.
Some of his proposals, such as limiting trade union powers and undermining the 35-hour work week by exempting overtime pay from taxes and social charges, have been criticized by union leaders, who threatened that “all attempts to pass things by force would backfire.”
In terms of external relations, Sarkozy’s first challenge is to heal the wounds left over from a French rejection of the EU treaty in a 2005 referendum. Despite his announcement that “France is back in Europe” after his election victory, he also urged his country’s European partners to hear the voice of the French people who sought protection.
In addition, how to mend the Paris-Washington rift over the Iraq war while maintaining France’s consistent stand on major international issues will also test Sarkozy’s diplomatic muscle. He is known to hold the United States in high esteem.
An imminent test for Sarkozy is the parliamentary election due next month. If his supporters can’t secure a majority in the National Assembly, Sarkozy will have to compromise on some key parts of his reform agenda, which also include strengthening state authority, restoring France’s traditional social values, tightening control on immigrants and improving security by forceful means.
“Now is the time for me to give back to France what France has given me. Together we are going to write a new page of history. The page, I am sure, will be great and beautiful.”
Nicolas Sarkozy, speaking to supporters after claiming victory in the French elections
“If Sarkozy lives up to his promises, this could be the beginning of long overdue
structural reforms for the French economy.”
Eric Chaney, Chief European Economist for Morgan Stanley and a former French Finance Ministry forecaster
“It’s a low premium to pay to reduce the risk of majorclimate damage.”
Bill Hare, a Greenpeace adviser, speaking to Reuters after the Intergovernmental Panel on Climate Change released a report on May 4 stating that limiting warming to 2 degrees Celsius only required an affordable cost of 0.12 percent of annual global gross domestic product
“We can’t say there is noinflationary pressure, but it was not very unexpected.”
Zhou Xiaochuan, Central Banker of China, explaining in Basel, Switzerland on May 6 that the quickest acceleration in China’s inflation in two years is “normal” because prices of primary goods have increased substantially and labor costs have risen
“It is crystal clear that NATO’s strategy is about reconstruction, nation building and development.”
NATO Secretary General Jaap de Hoop Scheffer, stressing that military force alone won’t defeat the Taliban in Afghanistan and reconstruction is the key to durable peace during a May 8 visit to the Pakistani capital, Islamabad
“From the depths of my heart, I believe Northern Ireland has come to a time of peace, a time when hate will no longer rule.”
Northern Ireland’s First Minister Ian Paisley, after his Democratic Unionist Party formed
a power-sharing administration on May 8 with Sinn Fein, a long-time foe, to take control of the territory’s government departments from Britain
“If you want to play a role, you’ll have to gain market share.”
Wim Zwanenburg, who helps oversee 27 billion euros ($36.7 billion) at Bank Degroof Group, including Microsoft shares, commenting on an alleged Microsoft-Yahoo combination that would triple Microsoft’s share of the U.S. search market to 38.4 percent, rivaling Google’s 48.3 percent | 
