| Author (Person) | Beattie, Alan, Giles, Chris |
|---|---|
| Series Title | Financial Times |
| Series Details | 26.9.11 |
| Publication Date | 26/09/2011 |
| Content Type | News |
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Report of discussions at the IMF in Washington and other developments in the eurozone sovereign debt crisis over the weekend of 24-25 September 2011. The International Monetary Fund annual meetings wrapped up in Washington on the 25 September 2011 with widespread concern over the eurozone sovereign debt crisis but no immediate consensus on the solution. Participants said they were waiting for the ratification of the action plan agreed on 21 July 2011 by the eurozone, particularly by the German Bundestag on the 29 September 2011, before starting serious negotiations on increasing the rescue fund’s firepower or asking for a bigger writedown in private sector holdings of Greek debt. Meanwhile, Greece continued to insist it would not default, despite widespread private pessimism among attendees at the meetings. The BBC News website wrote on the 26 September 2011 that the outline of a large and ambitious eurozone rescue plan was taking shape and quoted sources from the International Monetary Fund. It was expected to involve a 50% write-down of Greece's government debt. The plan also envisaged an increase in the size of the European Union bailout fund to 2tn euros. European governments would hope to have the plan in place in five to six weeks. Washington was said to be piling the pressure on Europe - publicly and privately - to act as quickly as possible to move forward with the expected multi-trillion-euro plan to bring an end to the eurozone crisis before it dragged the world into a second recession. |
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| Subject Categories | Economic and Financial Affairs |
| Countries / Regions | Europe |
