EU shuttle diplomacy is gathering speed ahead of what is set to be a crucial month for the euro single currency.
Today in Berlin, Mario Monti – the technocrat leader of recession-hit Italy – meets Angela Merkel. Germany is Europe’s biggest economy but its growth has slowed.
Yesterday Monti was in Brussels for talks with European Commission President Jose Manuel Barroso.
The European Central Bank is assuming a greater role in the debt crisis.
At its September meeting, having signalled that he will start a programme of government bond-buying to lower Spanish and Italian borrowing costs, ECB President Mario Draghi may detail how the bank would go about it.
Early next month Angela Merkel will visit Prime Minister Mariano Rajoy of Spain. With its economy falling deeper into recession, analysts believe it is just a matter of time before the country requests a full European rescue package.
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