EU summit: Still searching for a solution
According to CNNMoney, the official agenda is focused on striking a balance between more austere fiscal measures for nations with unsustainable levels of debt and policies that will help revive economic growth across the 17-member euro currency area.
The eurozone economy is widely expected to suffer a mild recession this year as governments cut spending to balance budgets. But too much austerity could make the recession worse.
"This is not a choice between fiscal consolidation and growth. We need both," said Jose Barroso, president of the European Commission, in a statement Friday.
The latest meeting of the European Council continues a string of summits EU leaders held last year as the debt crisis in the eurozone intensified. Now, with borrowing costs easing for Italy and Spain , officials are hoping to address deeper economic and political challenges.
But difficult debt negotiations in Greece have revived concerns about a default, and investors are growing worried about Portugal , where borrowing costs soared to record highs last week.
"There will be a lot more talk about growth and austerity," said Jennifer McKeown, an economist at Capital Economics in London. "That's helpful in the long run and could help prevent a future crisis, but it doesn't solve the current one."
Details also at http://money.cnn.com/