European Union leaders on the online summit on Thursday could not agree on the extent of support for economies affected by the pandemic States, giving two weeks to Eurozone Finance Ministers to develop the plan.
It is reported “European true” with reference to Reuters.
Stressing that the pandemic checks the cohesion of the bloc, Germany and the Netherlands has blocked calls from Italy, Spain and France to issue so-called “chronolical” for the financing of economic struggle.
In a six-hour video conference 27 EU leaders debated the creation of a credit line from the rescue Fund of the Eurozone. In the end, they instructed Finance Ministers to work out the details in the next two weeks.
“Some members suggested… these “chronolical”. We said that is not the point of view of all member countries. And this is why the ESM (European stability mechanism) is for me the best tool,” said German Chancellor Angela Merkel after the discussion.
Its ally, the Prime Minister of the Netherlands mark Rutte, said that the ESM will be the “last resort” in respect of which all still need to agree on the terms, and the Hague will not support the total debt.
ESM said that the credit for Eurozone governments may be available up to two years and must be repaid within a mean period of 5 to 10 years.
Italy, the most affected by the coronavirus, called for almost unlimited support for the devastated economy.
“We have to respond in innovative financial instruments” — said the office of the Prime Minister of Italy, Giuseppe Conte.
Pedro sánchez, Prime Minister of Spain, the second most affected country in Europe, supported the efforts of Italy.
“If we do not offer a single, powerful and effective response to this economic crisis, not only the effect will be stronger, but its consequences will last longer, and we will put at risk the entire European project,” said Sanchez.