News / USA

G8 Summit Ends with Consensus on Eurozone Reforms

U.S. President Barack Obama, Germany's Chancellor Angela Merkel and French President Francois Hollande (L to R) face the media as the G8 leaders gather for a family photo at the G8 Summit at Camp David, Maryland, May 19, 2012
U.S. President Barack Obama, Germany's Chancellor Angela Merkel and French President Francois Hollande (L to R) face the media as the G8 leaders gather for a family photo at the G8 Summit at Camp David, Maryland, May 19, 2012
TEXT SIZE - +
Kent Klein
WHITE HOUSE - U.S. President Barack Obama says the leaders of the world’s biggest economies are beginning to agree that more jobs and more growth will help reverse Europe’s economic crisis.  The president spoke Saturday at the end of the Group of Eight economic summit.
 
 After two days of talks at the Camp David presidential retreat outside Washington, Obama said the eight leaders acknowledge that budget cuts alone will not restore Europe’s economy.

“And there is now an emerging consensus that more must be done to promote growth and job creation right now, in the context of these fiscal and structural reforms,” the president said.

A statement from the G8 leaders called for a balance between growth and austerity to fight the economic woes.

Obama said the leaders discussed the need for the troubled European countries to continue shrinking their deficits while stimulating economic growth.

“Today we agreed that we must take steps to boost confidence and to promote growth and demand while getting our fiscal houses in order," he said. "We agreed upon the importance of a strong and cohesive Eurozone, and affirmed our interest in Greece staying in the Eurozone while respecting its commitments.”

G8 Summit Ends on Consensus on Eurozone reformsi
|| 0:00:00
X
Kent Klein
May 20, 2012 12:34 PM
U.S. President Barack Obama says the leaders of the world’s biggest economies are beginning to agree that more jobs and more growth will help reverse Europe’s economic crisis


Political impact

The decisions the leaders make could have political consequences.  

The main advocate of European austerity, German Chancellor Angela Merkel, recently saw her party defeated in a local election.

Former French President Nicolas Sarkozy, who also favored budget cuts, was voted out of office, in favor of Francois Hollande, who offered a pro-growth policy.

Many U.S. political analysts say a stagnant economy, blamed partly on Europe’s economic woes, is the biggest obstacle to Obama’s re-election in November.

“The leaders here understand the stakes," Obama noted.  "They know the magnitude of the choices they have to make, and the enormous political, economic and social costs if they do not.”

Iran

The G8 leaders also addressed the possibility of oil shortages when new sanctions against Iran’s oil exports take effect late next month.

“And in the face of increasing disruptions in the supply of oil, we agreed that we must closely monitor global energy markets," Obama said.  "Together, we stand ready to call upon the International Energy Agency to take action to ensure that the market remains fully and timely supplied.”

Africa

The president hosted a meeting of the G8 leaders and the leaders of Benin, Ethiopia, Ghana and Tanzania to help improve food security in Africa.

Obama said the G8 is committed to building on its 2009 initiative that led to $22 billion in government pledges.

The president said he and his G8 counterparts made progress on numerous other international issues.  Among them were Afghanistan, Syria and North Korea.

Most of the leaders have moved on to President Obama’s home city of Chicago for the NATO Summit.

You May Like

Multimedia Anti-Keystone XL Protests Continue

Demonstrators are worried about pipeline's effect on climate change, their traditional way of life, health and safety More

Thailand's Political Power Struggle Continues

Court gave Prime Minister Yingluck Shinawatra until May 2 to prepare her defense over abuse of power charges but uncertainty remains over election timing More

Malaysia Plane Search Tests Limits of Ocean Mapping Technology

Expert tells VOA existing equipment’s maximum operating depth is around 6 kilometers as operation continues on ocean bed for any trace of MH370 More

This forum has been closed.
Comment Sorting
Comments
     
by: TheBThing from: Melbourne, Australia
May 19, 2012 6:56 PM
It's not up to the G8, the People of Greece have already shown where they are going. The only alternative is a debt wipe and free paper currency thrown to the public, else the people will still be in pain.

The Euro has been a failure anyway. Time to return to unique nations and variety.

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Pet Kangaroo Helps Spread Environmental Messagei
X
Penelope Poulou
April 22, 2014 5:53 PM
Children’s author Julia Heckathorn travels the world to learn about different ecosystems and endangered animals. She pours her knowledge into children’s books, hoping the next generation will right the environmental wrongs of our times. As in many children's books, the main character in Heckathorn's stories is an animal. Unlike those other characters, though, this one is real - a kangaroo, that lives in the author’s backyard. VOA’s Penelope Poulou has more.
Video

Video Pet Kangaroo Helps Spread Environmental Message

Children’s author Julia Heckathorn travels the world to learn about different ecosystems and endangered animals. She pours her knowledge into children’s books, hoping the next generation will right the environmental wrongs of our times. As in many children's books, the main character in Heckathorn's stories is an animal. Unlike those other characters, though, this one is real - a kangaroo, that lives in the author’s backyard. VOA’s Penelope Poulou has more.
Video

Video Pro-Russian Separatists Plan 'Federalization Referendum' in Eastern Ukraine

Pro-Russian separatists in eastern Ukraine say they plan to move forward next month with a referendum vote for greater autonomy, despite the Geneva agreement reached with Russia, the U.S. and Ukraine to end the political conflict. VOA's Brian Padden reports from the city of Donetsk in Eastern Ukraine.
Video

Video Pope Francis Hopes Dual Canonizations Will Reconcile Church

On April 27, two popes - John the XXIII and John Paul II - will be made saints in a ceremony at St. Peter’s Square. VOA religion correspondent Jerome Socolovsky says the dual canonization is part of the current pope’s program to reconcile liberals and conservatives in the Roman Catholic Church.
Video

Video In Capturing Nature's Majesty, Film Makes Case for Its Survival

French filmmaker Luc Jacquet won worldwide acclaim for his 2005 Academy Award-winning documentary "March of the Penguins". Now Jacquet is back with a new film that takes movie-goers deep into the heart of a tropical rainforest - not only to celebrate its grandeur, but to make the case for its survival. VOA's Rosanne Skirble reports.
Video

Video Boston Marathon Bittersweet for Many Runners

Monday's running of the Boston Marathon was bittersweet for many of the 36,000 participants as they finished the run that was interrupted by a double bombing last year. Many gathered along the route paid respect to the four people killed as a result of two bombings near the finish line. VOA's Carolyn Presutti returned to Boston this year to follow two runners, forever changed because of the crimes.
Video

Video International Students Learn Film Production in World's Movie Capital

Hollywood - which is part of Los Angeles - is the movie capital of the world, and many aspiring filmmakers go there in hopes of breaking into the movie business. Mike O'Sullivan reports that regional universities are also a magnet for students who hope to become producers or directors.
Video

Video Pacific Rim Trade Deal Proves Elusive

With the U.S.-led war in Iraq ended and American military involvement in Afghanistan winding down, President Barack Obama has sought to pivot the country's foreign policy focus towards Asia. One aspect of that pivot is the negotiation of a free-trade agreement among 12 Pacific Rim nations. But as Obama leaves this week on a trip to four Asian countries he has found it very difficult to complete the trade pact. VOA's Ken Bredemeier has more from Washington.
Video

Video Autistic Adults Face Housing, Job Challenges

Many parents of children with disabilities fear for the future of their adult child. It can be difficult to find services to help adults with disabilities - physical, mental or emotional - find work or live on their own. The mother of an autistic boy set up a foundation to advocate for the estimated 1.2 million American adults with autism, a developmental disorder that causes communication difficulties and often social difficulties. VOA's Faiza Elmasry reports.
AppleAndroid