In a statement released by the European Central Bank, the financial body says the overall outlook for financial stability remains "challenging" in the Euro area.
Some of the key aims made in the statement include:
- Member States should step up their initiatives to strengthen the fiscal and banking components of a robust monetary union.
- There remains a clear need for a continued focus on tackling the root causes of the crisis, and a comprehensive response remains key to decisively ending a spiral of systemic risk augmentation.
- An effective use of the financial backstops is needed to halt the downward spiral of self-fulfilling dynamics in the pernicious interplay between sovereign, banking and macroeconomic forces.
George Osborne brands the Spanish bail-out as 'depressing' as the Government began paying more to borrow money than ever before.
Andreas Dombret, a board member of the Bundesbank, explains in a rare interview Germany's tough stance over euro crisis solutions.
With 18 of Spain's banks downgraded and the country's cost of borrowing rising, it begs the question: did the bail out happen at all?