The heads of the eurozone’s 17 governments came to an unexpected deal on short-term measures to lower borrowing costs of struggling peripheral economies, agreeing to give more financial backing to the bloc’s €440bn rescue fund and lowering the interest rates on Greece’s bail-out loans.Aye, well. Don't get over-excited. EU Summit deals have a habit of unravelling fairly quickly.
The leaders also backed a plan to buy sovereign bonds of struggling governments when they are initially auctioned, a measure that could allow countries with high borrowing costs to raise cash at much lower yields.
12 March 2011
The Brussels Pangloss writes:
All is for the best in this best of all possible worlds? The FT reports: