BRUSSELS (MNI) – After prolonged delay apparently due to
disagreements over wording, the Eurozone Summit’s 27 participating
countries issued a declaration early Saturday saying there was
unanimous agreement to defend the euro — “whatever it takes.”

In a news conference following the emergency summit, EU President
Herman Van Rompuy and European Commission head Jose Manuel Barroso said
there was no disagreement. But other than list broad categories of
unanimity, both men refused to reveal details of the proposals saying
they were being formally submitted for consideration on Sunday and next
Wednesday.

Both stressed the considerations were “accelerated” and that the
relevant reviews are going to be conducted in the next few days. Some
proposals, Barroso said, have been under consideration for as long as
two years.

The Summit declaration said that the “consolidation” of public
finance is a priority for each state and that an emergency stability
mechanism for crisis management is proposed to be established
immediately.

“We will face this situation together,” Van Rompuy told reporters.
All members, he said, are “fully aware” of the seriousness of the
situation.

Barroso told reporters, “It is already Saturday, so you can wait a
few more hours” for details.

He said the group explicitly endorsed the European Central Bank,
saying there is full confidence it will take the necessary action.
However, Barroso said there was also full respect for the ECB’s
“autonomy” and so he would not anticipate what actions it would take.

“The Council, the Commission and the European Central Bank as well
as all euro area member states agreed to use the full — the full range
of means available to ensure the stability of the euro area,” Barroso
said. They “will defend the euro, whatever it takes.”

Gaps in economic coordination will be plugged, policy coordination
will be increased and the crisis management mechanism will be “robust,”
Van Rompuy said. But neither man would answer questions about the exact
nature of the emergency mechanism.

Regarding the ratings agencies, Barroso said the declaration
carries forward the belief that a supervisory entity must be
established.

Asked directly about any ECB direct purchases, Barroso repeated
only that there is full confidence in the institution as well as
respect for its independence.

** Market News International **

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