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Dollars to save euro
The Fed could pump money into the IMF, for it to assist with problems in the EU. Federal Reserve Central Bank of the United States of America, could participate in the euro area and save the single currency.
The institution may participate, along with the 17 central banks of countries in monetary union, in a program of additional lending capacity of the International Monetary Fund (IMF) to support euro area countries with problems, wrote German newspaper "Die Welt ".
According to this, central banks could "make trouble" at least 100 billion through a special fund to help vulnerable states with high debt. Currently, the funds available for lending by the IMF amounting to 390 billion, according to statements by Christine Lagarde, director of the Fund.
The plan, already approved by EU ministers
According to German publication, eurozone finance ministers would have already agreed to such a plan and now are negotiations that will raise the fund and to establish technical details.
Timothy Geithner, U.S. Treasury Secretary, will today begin a three-day official visit to Europe, where he will meet with officials from Germany, France, Italy, Spain and representatives of the European Central Bank (ECB).
U.S. Treasury spokesmen said that the visit aims to "discussions on the EU authorities' efforts to strengthen institutions in the euro area," send "The Wall Street Journal."
U.S. and the IMF began to intervene more strongly so in the strategy to tackle the crisis in Europe and their involvement indicates the growing concerns with the ability of EU leaders to act effectively and on time, says the international press.
The most recent American efforts coincide with the period in which the IMF will assume the biggest role so far in the crisis of Europe. Fund officials yesterday began a monitoring program of budget Italy.
Fund involvement is seen as an extraordinary measure. IMF monitors budgets in a similar manner Greece, Ireland and Portugal - countries that have financial assistance programs with the Fund. Italy has no such agreement.
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