|
|
European Union leaders have given themselves a deadline of two weeks to agree a comprehensive deal to tackle the eurozone debt crisis, a grand bargain that would include a final decision on Greece’s bail-out and a new strategy to recapitalise Europe’s banking sector.
Both sides have agreed to wait for a detailed report from the so-called “troika” of international lenders to Greece before deciding how to proceed, officials said. Troika negotiators are expected to wrap up their talks in Athens on Tuesday, but a complete evaluation of Greek finances is unlikely to be finalised until the middle of next week, forcing EU leaders to delay Monday’s planned summit until October 23.
Some senior European officials are pushing the European Banking Authority to “mark to market” banks’ sovereign bond holdings, a process that would hit French banks particularly hard.
Full article (FT subscription required)