France`s Baroin `convinced` of eurozone deal
Baku, October 24 (AZERTAC). France`s finance minister is convinced that EU leaders will agree a deal to end the eurozone debt crisis at a summit on Wednesday.
French Finance Minister Francois Baroin has said he is convinced that European leaders will agree on a comprehensive deal to end the eurozone debt crisis at a summit on Wednesday.
"I`m convinced of it," Mr Baroin told Europe 1 radio today. "If we said (there was) two thirds progress since Friday morning, we are realistic."
"We agreed on disbursing the last instalment of the preceding Greek programme," he said, referring to a European summit in Brussels this weekend.
"We agreed on the level of recapitalisation for banks to face any shocks," he added, noting that there remained technical discussions on the European rescue fund.
"We know where we are going, we know that we don`t want Greece to default," Mr Baroin said stressing that the crisis was serious and a "threat on a global scale".
Stock markets around the world made modest gains today, as hope rises that a comprehensive deal will be agreed.
Meanwhile, the Italian cabinet meets in special session tonight, amid mounting pressure on Prime Minister Silvio Berlusconi to map out a timetable for reducing his country`s debt.
At yesterday`s summit, Mr Berlusconi was cornered by the French and German leaders and warned he had to take tougher action on his country`s mountain of debt and set out a implementation timetable.
The Italian government has already passed an austerity plan, however it was marred by u-turns and confusion.
Taoiseach hopeful of deal
Taoiseach Enda Kenny said last night that he was more hopeful that EU leaders will be in a position to sign a comprehensive deal on the eurozone crisis following lengthy discussions at their summit in Brussels yesterday.
EU Finance Ministers and EU leaders will return to Brussels on Wednesday to try to agree a way to deal with the crisis.
Asked to explain why he was confident, Mr Kenny said for the first time he found the leadership of EU focusing on the fundamentals, from the situation in Greece to the fear of contagion.
That observation was backed by the President of the EU Commission José Manuel Barroso, who said the talks were "a work in progress and its progressing well".
IMF Managing Director Christine Lagarde said good progress has been made.
However, there are a number of significant hurdles still to be negotiated, including German Chancellor Angela Merkel securing support for the package from her powerful Bundestag budget committee over the coming two days.
"We know where we are going, we know that we don`t want Greece to default," Baroin said, stressing that the crisis was "serious" and a "threat on a global scale."
European Union leaders hailed good progress after a first summit on Sunday aimed at overcoming a crisis that has threatened to pitch the world into a fresh recession.
However, presidents and prime ministers left Brussels with few concrete details, vowing to reveal all at a second gathering on Wednesday despite mounting international and market pressure.
Leaders are still examining ways to beef up the EU rescue fund beyond its current firepower of 440 billion euros ($605 billion) without actually putting in more money.