Eurozone heads must move quickly to address sovereign debt crisis – Barroso
European Commission President Jose Manuel Barroso has called on eurozone Government heads to implement the steps agreed last month to combat the sovereign debt crisis in the continent.
"Developments in the sovereign bond markets of Italy and Spain are a cause of deep concern," Mr Barroso said in statement. "These developments are clearly unwarranted on the basis of economic and budgetary fundamentals in these two Member States and the steps that they are taking to reinforce those fundamentals."
Many European prime ministers are on holidays although there has been telephone and email contact between the Spanish and Italian governments and Commission executives.
Mr Barroso said the markets are uneasy about the ability of Europe to deal with the latest sovereign debt fears Italy and Spain.
“In fact, the tensions in bond markets reflect a growing concern among investors about the systemic capacity of the euro area to respond to the evolving crisis," he said. "It is essential, therefore, that we move forward rapidly with the implementation of all of that has been agreed by the Heads of State and Government and send an unambiguous signal of the euro area's resolve to address the sovereign debt crisis with the means commensurate with the gravity of the situation."