USA TODAY / AP: …Meeting for the 19th time since the debt crisis exploded in late 2009, leaders of the 17 countries that use the euro currency agreed to let funds intended to bail out indebted governments funnel money directly to struggling banks as well. The move is intended to stop banks from piling debt onto the balance sheets of already stressed governments.
The leaders also agreed to ease austerity requirements for countries that take bailouts — a victory for Spain and Italy, both of which they have done much already to clean up their economies, though they insist they don’t want bailouts. The move is also a sign that Germany may be easing in its insistence on brutal austerity measures in exchange for loans.
Leaders of the full 27-member European Union, which includes non-euro countries such as Britain and Poland, also agreed to a long-term plan for a tighter budgetary and political union.. (more)
