EU defends itself against markets

Portugal plans to issue more government bonds on Wednesday in a bid to stabilise its budget. Instead of allowing itself to be driven by the markets Europe should develop a joint economic policy before Spain and Italy are also forced to take refuge in the EU bailout programme, the left-liberal daily Süddeutsche Zeitung warns: "Bailout packages for Madrid and Rome would by far exceed the financial capacity of the current fund - and would also be a fatal sign of political helplessness. … At Europe's government headquarters they are aware of the impending disaster. … The ideas basically amount to giving the euro double protection in future. The current custodian of the currency, the European Central Bank, will be joined by a second, largely independent institution. A European currency and investment fund is being set up to put together financial aid packages, but also and above all to closely coordinate and monitor the national economies of the 27 member countries. … There is no alternative to this new and intelligent body of rules and regulations."

» more information (external link, German)
More from the press review on the subject » EU Policy, » Economic Policy, » Banks, » Portugal, » Europe
All available articles from » Cerstin Gammelin

» To the complete press review of Tuesday, January 11, 2011