PARIS, Oct. 4 (Xinhua) -- Leaders from the European
Union (EU)'s four largest economies concluded an emergency summit here on
Saturday, vowing to work in a coordinated way in tackling financial crisis.
"We will work cooperatively and in a coordinated way
within the European Union and with our international partners," leaders from
France, Germany, Britain and Italy said in a joint statement.
Italian Prime Minister Silvio
Berlusconi, German Chancellor Angela Merkel, France's President Nicolas
Sarkozy and British Prime Minister Gordon Brown (L-R) pose for a family
picture at a summit to discuss the international financial crisis at
Elysee Palace in Paris October 4, 2008. (Xinhua/Reuters
Photo) Photo
Gallery>>>
The three-hour mini EU summit was called by France,
which holds the EU rotating presidency, after several European banks fell prey
to the financial crisis in the past week, prompting EU governments to infuse
billions of euros to keep them afloat.
It was also attended by European Commission President
Jose Manuel Barroso, European Central Bank chief Jean-Claude Trichet and
Eurogroup Chairman Jean-Claude Juncker.
EU leaders said they would do their utmost to save
troubled banks and restore confidence in the financial markets.
"We jointly commit to ensure the soundness and
stability of ourbanking and financial system and will take all the necessary
measures to achieve this objective," they said.
French President Nicolas Sarkozy, who hosted the
summit, said he and the other leaders had agreed that governments needed to act
in a coordinated manner.
"Each government will operate with its own methods
and means, but in a coordinated manner," Sarkozy said at a joint news conference
with others.
Italian Prime Minister Silvio Berlusconi
(2nd L) speaks with France's President Nicolas Sarkozy and German
Chancellor Angela Merkel (L) as British Prime Minister Gordon Brown
answers questions during a news conference following a summit to discuss
the international financial crisis at Elysee Palace October 4, 2008.
(Xinhua/Reuters Photo) Photo
Gallery>>>
In
the spirit of close coordination, the leaders made it clear that EU governments
should take into consideration the potential cross-border effects of their
national decisions when tackling the financial crisis, in an obvious reference
to Ireland's recent decision to guarantee all the savings at Irish-owned banks.
The unilateral move by Irish government angered other
EU countries, notably Britain, which worried about a flurry of savings
withdrawals from their own banks to Irish peers.
The European Commission, the EU's executive arm, was
invited at the summit to present a legislative proposal in the near future on
harmonization of EU deposit guarantee schemes.
Prime Minister Gordon Brown told the same press
conference that other leaders supported his call for the early release of 32
billion euros (about 44 billion U.S. dollars) in European funds to help small
businesses weather the global finance crisis.
The money had been committed by EU member states at a
meeting of finance ministers in Nice last month, but the British government
wanted the European Investment Bank to make those funds available ahead of
previous schedule.
Brown said the governments would continue to assure
liquidity and prevent any sound and solvent bank from failing.
"Where action has to be taken we will continue to do
whatever is necessary to preserve the stability of the financial system," Brown
said. "The message to families and businesses is that, as our central banks are
already doing, liquidity will be assured in order to preserve confidence and
stability."
EU leaders also made a call for restraints on
executive pay, strict oversight of credit rating agencies and quick change of
accounting rules to ensue European financial institutions are not disadvantaged
with their international competitors.
They
said the EU needs to improve supervision structure in dealing with cross-border
financial groups.
In a legislative proposal released on Wednesday to
reform the EU banking rules, the European Commission called for the
establishment of colleges of supervisors to oversee cross-border institutions.
EU leaders said the mechanism should be installed
immediately.
They called jointly for a Group of Eight (G8)
industrial nations summit as soon as possible to review rules governing
financial markets.
"Go forward, we will work within the EU with our
international partners to achieve an effective and comprehensive reform of the
global financial system," they said.
PARIS, Oct. 4
(Xinhua) -- Leaders from France, Germany, Britain and Italy met here on Saturday
to coordinate response of European Union (EU) member states to the escalating
financial crisis.
The French government said the mini EU summit aimed to
prepare European members of the Group of Industrialized Nations (G8) for a
larger meeting on the crisis although no date has been set for such a meeting.
Full story
LONDON, Oct. 3 (Xinhua) --
British Prime Minister Gorden Brown launched on Friday a new National Economic
Council (NEC) that "will advise on measures to steer the economy through the
current global crisis."
Speaking to journalists in Number 10, the prime minister
said that the nation was "living through the first truly global financial
crisis" and that changes to the Cabinet and Government, also announced on
Friday, were designed to "change the way we govern" during this period of
economic insecurity. Full story
PARIS, Oct. 4 (Xinhua) --
The International Monetary Fund (IMF) chief Dominique Strauss-Kahn urged
European Union (EU) member states on Saturday to coordinate their individual
responses to the financial crisis.
"What is needed in Europe is coordination, whatever the
method. What counts above all is coordination and the will not to act each for
himself as we have seen a little bit in some European cases," IMF Managing
Director Dominique Strauss-Kahn told reporters after a meeting here with French
President Nicolas Sarkozy. Full story
