Stock brokers rejoice! Germany and France came to a common position on the European Union’s economic woes, just in time for an emergency summit held in Brussels yesterday.
The Vancouver Sun reports that Sarkozy and Germany’s Angela Merkel presented a united front at the meeting:
“France and Germany will push in the coming weeks to overhaul economic governance in the eurozone in the wake of the Greek debt crisis, Sarkozy said Thursday.
He and Merkel ‘agreed that we must move forward on economic governance in the coming weeks in an ambitious and willful way,’ he said after an emergency summit that agreed a new bailout of Greece.”
Bloomberg reported that many previous disagreements had centered around just what in the hell should be done with Greece:
“European Commission president Jose Manuel Barroso said ‘nobody should be under any illusion, the situation is very serious.’
He said that at the very least, leaders need to present how they will make Greece’s debt sustainable, under what terms private creditors will have to contribute to a new bailout for the country, and what new powers to give to their bailout fund.
European leaders have faced criticism for their slow, piecemeal efforts to stem the debt crisis.
The IMF urged European leaders to act more boldly, warning that there is ‘no consistent roadmap ahead’ and that this could produce ‘possible significant regional and global spillovers.'”
As for Greece? Sky News broke it down:
“The headline figure is a package of official loans from the IMF and the eurozone worth an estimated €109bn. The final communiqué also states a further €37bn will be given in voluntary contributions. The idea is to get Greece’s debt level down and on a footing where the country has chance to pay it back. It’s why Athens has also been given more time to repay loans – up to 40 years – and a lower rate of interest on the payments, about 3.5%.”
Read all about another wretched economic crisis in the Carnet Atlantique.