Tomorrow, in an unobtrusive committee room in Brussels, finance ministers from the eurozone states will decide whether or not they are truly prepared to firehose money at Spain’s banks without asking anything in return. The decision was announced, theatrically but vaguely, by their prime ministers last month. Only now, though, as the national treasury officials get out their pencils, do we see whether they really meant it.
We’ve been spared the dramatic deadlines that traditionally precede these summits: “three months to save the euro”, (Christine Lagarde), “ten days to save the euro” (Olli Rehn), “one week to save the euro” (Mario Monti) etc. Yet, oddly, this one really matters. Ireland, Greece, Portugal and Cyprus, combined, account for less than 5 per cent of the EU’s economy. Spain was always likely to be where the issue would be settled for good or ill.
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Afternoon Updates:
12:02 pm EDT, July 9th, 2012 — German president tells Angela Merkel to come clean on EU debt deal
12:03 pm EDT, July 9th, 2012 — Chinese inflation slows to lowest in two years
12:04 pm EDT, July 9th, 2012 — Pensioners to be insured against stock market falls
12:05 pm EDT, July 9th, 2012 – Eurozone fragmenting faster than EU can act
12:06 pm EDT, July 9th, 2012 — Greek parliament gives thumbs up to new government
12:07 pm EDT, July 9th, 2012 — Merkel Wrestles with Court over Europe’s Future
12:08 pm EDT, July 9th, 2012 — France Shows Caution on EU Integration
12:09 pm EDT, July 9th, 2012 — European buyouts hit hard by regional debt crisis
