ECB debacle will colour Eurovision votes

The long lunch once beloved of business people everywhere has all but disappeared over the last 10 years. Since Michael Douglas told us that "lunch was for wimps" and since fee incomes have been squeezed in the light of more and more competition, the three course lunch with as many bottles of wine has, as a matter of course, fallen by the wayside.

But not in Europe! At last weekend's Euro Summit it was the length of the lunch that was as historic as the event itself. Eleven hours. I couldn't help wondering whether the waiters and waitresses were on double, triple or quadruple pay at that point. Maybe between them they would have earned a week's wages for the new head of the European Central Bank. I've no idea, because despite the amount of press the appointment has been given, and despite the fact that as a taxpayer I'm contributing towards his salary we don't know precisely how much Mr Duisenberg will earn.

We do know that he won't serve the full eight-year term. The horse-trading that finally ended the marathon lunch meant that Mr Duisenberg has accepted the job but "fully and freely" of his "own free will" he would not be staying for the full term.

This is so that the French can have their way and allow Mr Trichet a shot at the job in about four years time. Even if that means Chancellor Kohl has to take the flak at home.

There was a lot of comment in the weekend press about the market's possible reaction to the squabbling about the new ECB head. Mostly along the lines of "if they can't stick to the spirit of the rules on this, then what chance has the euro got?" and it's difficult not to concede the point. While I don't doubt that both candidates have impressive qualifications for the job, it seems to have political handprints all over it and this ECB is meant to be politically independent.

It takes a Central Bank a long time to build up a reputation for independence and the ECB has fallen at its first, faltering step. All the same, that bastion of financial independence the Bundesbank, had its wings severely clipped during the reunification of Germany and subsequently managed to redeem its independent outlook. But not until after the politicians had walked roughshod over its proposed conversion rates from ostmarks into deutschmarks the effects of which are still being felt in Germany today.

Still, the amount of airtime and newsprint given to the ECB story shows that, for now, the politicians have won the battle, if not the war.

The days before the weekend had seen rumours and counter-rumours about more revaluations; the Greeks making a late bid for entry and interest rate changes; but in the end it was all relatively plain sailing as far as the mechanics were concerned.

I guess we'll actually see how people felt about it all this weekend when that other great Euro summit takes place the Eurovision song contest. Given that it was the French who caused most of the haggling (and why should they care, they like long lunches) it'll be interesting to see whether or not the Germans give them douze points or nul points and vice versa. If Ireland wins, I wonder will there be any sign of some structural funds to keep us going and help finance another staging of the poisoned chalice. I correctly predicted that Britain would win last year on the back of the Labour victory and a softening of their attitude towards Europe. It could be between themselves and the Greeks this year since the latter are valiantly restructuring the economy to be in shape for entry in the next wave, while Britain actually holds the presidency of the European Union. Minimal points for the Danes and the Swedes who are still in opt-out mode, I would have thought.

Anyway, I still think we're a long way from the openness and transparency a single currency will bring. I suppose we should practise thinking in euros from now, but I can't help feeling that everyone over the age of about 25 will still convert back into Irish pounds and end up being horrified at how expensive everything is.

Meanwhile, for people who didn't care about the historic nature of events in Brussels, it was fairly historic in Dublin where, for once, a holiday weekend wasn't blighted by hailstones storming from above. My own weekend started on a very enjoyable note on Friday night when I was book signing at Village Books in Malahide. The owners also supplied wine and smoked salmon to their customers to entice them in. I'd been pretty worried about the whole thing, because book signing is fraught with self-doubt and I hadn't a clue how many people would want to sip wine and eat salmon with me when they could have been listening to the historic events in Brussels, but I needn't have been concerned because loads of people turned up and we had a great night.

I was amazed at how many people read this column and can only assume that the Celtic Tiger has made everyone much more conscious of the whole financial sector and what happens in it. Most people didn't think I looked anything like my photo on this page a tribute to the photographer's skill I'd say! But if anyone in Wexford wants to check it out, I'll be in the Wexford Bookshop on Saturday afternoon unless you're far too busy getting ready for the Eurovision . . .