European finance ministers meeting in Brussels have discussed further ways of shoring up the eurozone after last weeks approval of a 750-billion-euro stability package.
And with the single currency appearing at one one point to go into free-fall against the dollar, the head of the Eurogroup finance committee, Jean-Claude Juncker applauded recent efforts of some member states.
“We think that the measures taken by the Spanish and Portuguese governments are courageous and show a certain amount of adjustment that satisfies us, “ said Junker.
But Berlin wants a more preventive strategy and is calling for tougher fiscal rules to accompany the rescue package. These would include provision for member states to examine each other’s spending plans and economic policies.
Europe is also seeking tangible support from the US in regulating international market speculators – blamed in large part for over reacting to Greece’s debt crisis.