EU leaders send signals to steady the financial markets unnerved by the Greek budgetary crisis that threatens the eurozone’s credibility. As demonstrators in Athens protest at harsh budget cuts, some politicians favour setting up a financial bail-out mech

EU Leaders Reassure Financial Markets

Europe's leaders are meeting in Brussels   today to reassure the financial markets.

Greece has been hit by   serious budgetary and social crises.

But it's the credibility of   the whole eurozone that is now at stake.

European intervention re-opens the   debate on genuine economic governance,

I've always supported   European economic governance.

There's the European Central Bank that   runs monetary policy with a free hand,

which is good, but we need a   counterweight, and we don't have one.

One proposal is to organise   a financial mutual aid mechanism,

Until now the big countries had refused   to consider the idea,

and each country was   in charge of its own budget.

Germany and other states   in favour of budgetary discipline

have until now ruled out financial aid   mechanisms between countries.

Berlin, a long-time opponent, is against   bailing out states with lax budget policies.

When the single currency was launched   in 1999 the rule was clear:

each country   had to keep its house in order.

This issue is at the heart of debate   at the summit of EU leaders.

The priority is to find a European solution   to the Greek problem,

ensure solidarity between Member States   and show shared political will.

Europe has to assert itself and it can only   do so in a world with a global economy

if it is united and coherent   and if we work together.

The summit's outcome will shape   the euro's future

and the long-term viability of   the EU economy.

In the streets of Athens, demonstrators   are burning the European flag,

even though the EU will probably be key   to saving the Greek state.