Despite early optimism, European leaders failed to come to an agreement over the weekend on an approach to the growing debt crisis in the region, according to The Wall Street Journal.
A draft proposal for the expansion of the European Financial Stabilization Facility was presented last Thursday, October 20, leading some to believe that there might be a resolution at meeting on Sunday between many of the region’s leading finance figures.
The 10-hour session left many issues to be resolved, however, prime among them was the purpose of the EFSF. Given the fund’s broad array of existing purposes, some policymakers have been skeptical of turning its sights on the current debt crisis. Some have instead supported the creation of a new fund with an extremely limited focus on protecting banks from the fallout of the situation in Greece.
Nevertheless, The Telegraph reports that British Prime Minister David Cameron saw the beginnings of a plan at the meeting and expects the next session on Wednesday to prove productive.
“As well as a number, what matters is that the market sees what is happening is what needs to be done,” Cameron told reporters. “You can’t put a number on that.”