A CORK TD has called for investments from outside the European Union to be monitored by the EU Commission amid the Covid-19 crisis.
Michael McGrath has warned that a number of industries, including media, aviation, real estate and energy could see their values depreciate substantially.
The Fianna Fáil spokesperson on finance has warned that the EU may need to move as a bloc to prevent strategic assets being acquired by investors outside the EU at depressed prices.
Deputy McGrath has said investors from outside the EU could take advantage of the situation: “We need to be careful that certain strategic assets and companies are not snapped up by predatory investors that could potentially jeopardise national interests across the EU.
“In Europe, we could see critically important companies, like utility and transport companies being bought up by foreign regimes. This could turn into a real risk in the longer term for the European economy,” the Cork South Central TD said.
Deputy McGrath said that other countries have begun to move at a unilateral level on the issue.
“In its guidelines, the European Commission has effectively left it up to individual Member States. However, it is extremely difficult for any national government within the EU to tackle this threat effectively on its own and that is why consideration should be given to a coordinated response across the EU,” he said.