EU calls for global response to credit crisis
EU Commission President called for a global response to a world financial crisis that has forced European governments to spend bns of euros in recent days to rescue struggling banks.
By Agencies |
BRUSSELS: The EU Commission President called on Wednesday for a global response to a world financial crisis that has forced European governments to spend billions of euros (dollars) in recent days to rescue struggling banks.
Jose Manuel Barroso said the banking meltdown is having an impact on the real economy, adding urgency to reforms governments should make open up their economies.
He also said it was ``critically important for the credibility of markets'' for governments to work together on urgent bailouts for troubled banks _ and find longer-term solutions to fix problems in the banking system.
He said the European financial system has coped well in recent days but ``there are some difficulties and we should certainly do more and do more efficiently.''
This was essential to restore confidence in the markets, he said. Banking shares have sunk significantly over the past week as traders fear that many institutions could not cover their debt or absorb huge losses racked up from high-risk investments based on U.S. housing loans.
Jose Manuel Barroso said the banking meltdown is having an impact on the real economy, adding urgency to reforms governments should make open up their economies.
He also said it was ``critically important for the credibility of markets'' for governments to work together on urgent bailouts for troubled banks _ and find longer-term solutions to fix problems in the banking system.
He said the European financial system has coped well in recent days but ``there are some difficulties and we should certainly do more and do more efficiently.''
This was essential to restore confidence in the markets, he said. Banking shares have sunk significantly over the past week as traders fear that many institutions could not cover their debt or absorb huge losses racked up from high-risk investments based on U.S. housing loans.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
