OECD urges 'overwhelming force' to fix eurozone
Source: BI-ME with AFP , Author: Posted by BI-ME staff
Posted: Mon June 18, 2012 8:56 am

INTERNATIONAL. The head of the Organisation for Economic Cooperation and Development warned G20 members they may need to deploy "overwhelming force" to confront Europe's sovereign debt crisis.

Speaking in the Mexican resort of Los Cabos ahead of the G20 summit of the world's most powerful economies, OECD secretary general Angel Gurria said the eurozone's response to the trouble had not been adequately coordinated.

"Europe has the means, the institutions, the vigour and the power ... but its will has not been transmitted in the correct way, because of the problems in the governance of its institutions," he warned, at a news conference.

The European members of the G20 -- Britain, France, Germany and Italy -- are expected to come under pressure from all sides during Monday's summit to commit to more debt burden-sharing to ease market pressure on Greece and Spain.

Interest rates for the weaker of Europe's debt-ridden economies have soared amid fears on the bond markets that eurozone members, starting with Greece, might default if stronger powers like Germany fail to back them up.

Gurria said the world faces a "generalized slowdown" and if an institutional response to the problems triggered by the eurozone crisis is not found the G20 might need to deploy "overwhelming force" to contain the fallout.

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: October 29, 2014
UAE. Total wealth in the GCC stood at US$ 1.7 tillion in 2014, up 4.75% from 2013; Total wealth in Saudi Arabia and UAE grew by 5%; Global household wealth up 8.3% to US$263 trillion, driven by the US and Europe, according to Credit Suisse Research Institute.
date:Posted: October 29, 2014
UAE. Significant increase in inflows of private capital into UAE in 2014; UAE seen as hub between Africa and Asia; Political stability remains a major factor driving flows; UAE clear winner in the region, as other GCC countries see net outflows of private capital.
date:Posted: October 28, 2014
INTERNATIONAL. Foreign policy is what a president wishes would happen; foreign affairs are what actually happen; the problem that Obama has, which has crippled his foreign policy, is that his principles have not been defined with enough rigor to provide definitive guidance in a crisis.
UAE. Total wealth in the GCC stood at US$ 1.7 tillion in 2014, up 4.75% from 2013; Total wealth in Saudi Arabia and UAE grew by 5%; Global household wealth up 8.3% to US$263 trillion, driven by the US and Europe, according to Credit Suisse Research Institute.
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