News / Europe

Most EU Countries Accept New Fiscal Deal

Britain's Prime Minister David Cameron (C) looks at Germany's Chancellor Angela Merkel (L) at a European Union summit in Brussels, December 9, 2011.
Britain's Prime Minister David Cameron (C) looks at Germany's Chancellor Angela Merkel (L) at a European Union summit in Brussels, December 9, 2011.

Most members of the European Union agreed to a new deal Friday that is intended to address debt problems that have threatened the common euro currency and driven Europe into an economic crisis. The agreement increases EU supervision of government budgets of member nations.

France and Germany pushed hard for the deal.

After tough negotiations in Brussels, all 17 European Union members that use the euro, and some other EU nations, agreed to the plan.

That pleased German Chancellor Angela Merkel.

"I am very pleased with the results of yesterday's talks - this is not a foreign compromise for the sake of the Euro. Across the world, people will see that we've learned from mistakes made in the past," said Merkel.

EU leaders hope financial markets will be reassured by the plan's long-term solution to the eurozone government debt crisis. Greece, Portugal and Ireland have already received international bailouts because of their debt, and some analysts feared even greater needs from Spain and Italy.

EU leaders also agreed to give the International Monetary Fund another $260 billion for programs to keep the current crisis from spreading.

But Britain rejected the deal. It is the strongest of the EU nations that do not use the euro and a major financial center. A proposed tax on financial transactions was one of several issues that raised concerns for British Prime Minister David Cameron.  

"What is on offer isn't in Britain's interests and I didn't agree to it," said Cameron.

Stock markets and the value of the euro rose Friday after the deal was announced.

Economists were split about whether the deal would do enough to prevent future fiscal crises and solve the current problems.

In Frankfurt, Germany, Chris Zwermann, of Zwermann Financial, said it may be just as well that Britain did not agree to the deal.  

"We get the possibility to make decisions for the Euro countries, which means 17 countries without any influence from other countries who don't belong into this area," said Zwermann.

Deutsche Bank's Stefan Schneider welcomes the agreement to enforce deficit limits.

"Because otherwise, you know, something, 'just let's pull the check book and write a check' - I think that ultimately would cause a serious problem in terms of democracy," said Schneider.

The deal needs final ratification by member countries, and could be signed by March.

You May Like

Video British Fighters on Frontline of Islamic State Information War

It’s estimated that several hundred British citizens are fighting for Islamic State alongside other foreign jihadists More

Pakistan's Political Turmoil Again Shines Spotlight on Military

Thousands of protesters calling for PM Sharif to step down continue protests in front of parliament, as critics fear political impasse could spur another military coup More

Photogallery Ebola Quarantines Spark Anxiety in Liberian Capital

Food prices rise sharply as residents attempting purchases clash with security forces, leaving one person dead More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Native Bees May Help Save Cropsi
X
Deborah Block
August 22, 2014 12:23 AM
U.S. President Barack Obama has called for a federal strategy to promote the health of bees that have been declining. The honeybee has been waning due to parasites, disease and pesticides. Wild bees may be used to take over their role as crop pollinators. Scientists first need to learn a lot more about wild bees, says biologist Sam Droege, who is pioneering the first national inventory on native bees. VOA’s Deborah Block went to his research laboratory in Beltsville, Maryland, to bring you more.
Video

Video Native Bees May Help Save Crops

U.S. President Barack Obama has called for a federal strategy to promote the health of bees that have been declining. The honeybee has been waning due to parasites, disease and pesticides. Wild bees may be used to take over their role as crop pollinators. Scientists first need to learn a lot more about wild bees, says biologist Sam Droege, who is pioneering the first national inventory on native bees. VOA’s Deborah Block went to his research laboratory in Beltsville, Maryland, to bring you more.
Video

Video US Defense Officials Plan for Long-Term Strategy to Contain Islamic State

U.S. defense officials say American air strikes in Iraq have helped deter Islamic State militants for the time being, but that a broad international effort is needed to defeat the extremists permanently. Defense Secretary Chuck Hagel warned Thursday that the group formerly known as the Islamic State in Iraq and the Levant, or ISIL, is better organized, and financially and militarily stronger than any other known terrorist group. Zlatica Hoke has more.
Video

Video Drug-Resistant Malaria Spreads in Southeast Asia

On Thailand’s border with Myanmar, also known as Burma, a malaria research and treatment clinic is stepping up efforts to eliminate a drug-resistant form of the parasite - before it spreads abroad. Steve Sandford reports from Mae Sot, Thailand.
Video

Video Gaza Conflict, Hamas Popularity Challenge Abbas

The Palestinian unity government of Mahmoud Abbas has failed to convince Hamas to agree to Egyptian-negotiated terms with Israel on a Gaza cease-fire. VOA State Department Correspondent Scott Stearns reports on what the Gaza conflict means for President Abbas, with whom U.S. officials have worked for years on a two-state solution to the Israeli-Palestinian conflict.
Video

Video Nigeria's 'Nollywood' Movie Industry Rolls in High Gear

Twenty years after its birth in a video shop in Lagos, Nigeria's "Nollywood" is one of the most prolific film industries on earth. Despite low budgets and whirlwind production schedules, Nigerian films are wildly popular in Africa and industry professionals say they hope, in the future, their films will be as great in quality as they are in quantity. Heather Murdock has more for VOA from Lagos.
Video

Video UN Launches 'Biggest Aid Operation in 30 Years' in Iraq

The United Nations has launched what it describes as one of the biggest aid operations in 30 years in northern Iraq, as hundreds of thousands of refugees flee the extremist Sunni militant group calling itself the Islamic State. As Kurdish and Iraqi forces battle the Sunni insurgents, the fighting has forced more people to flee their homes. Kurdish authorities say the international community must act now to avert a humanitarian catastrophe. Henry Ridgwell reports for VOA from London.
Video

Video Cambodian American Hip Hop Artist Sings of Personal Struggles

A growing underground movement of Cambodian American hip hop artists is rapping about the struggles of living in urban America. Most, if not all of them, are refugees or children of refugees who came to the United States from Cambodia to escape the Khmer Rouge genocide of the 1970s. Through their music, the artists hope to give voice to immigrants who have been struggling quietly for years. Elizabeth Lee reports from Long Beach, California.
Video

Video African Media Tries to Educate Public About Ebola

While the Ebola epidemic continues to claim lives in West Africa, information technology specialists, together with radio and TV reporters, are battling misinformation and prejudice about the disease - using social media to educate the public about the deadly virus. VOA’s George Putic has more.

AppleAndroid