European Central Bank chief Mario Draghi warned Thursday the EU needs to quickly implement measures to tighten budget discipline to resolve the debt crisis, as a successful Spanish bond sale sent shares and the euro higher. Russia meanwhile signalled it was ready to contribute up to $20 billion to an EU-led effort to boost the funds available to the International Monetary Fund for rescue programmes which would benefit weaker eurozone states. Draghi called on EU governments to quickly follow through on their pledge at a summit last week to agree to drastically tougher budget rules. "The decisions of the European Council summit, together with the (measures) approved recently by the European Parliament, are a breakthrough for clear fiscal rules in our monetary union," Draghi told a congress in the German capital. "However, the crisis has not ended yet. It is now important not to lose momentum and to swiftly implement all those decisions that have been taken to put the euro area … [Read more...] about Draghi urges EU to move swiftly on crisis measures
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EU push for big climate deal ‘too much’: China
A European drive to forge a legally-binding deal on climate change by 2015 that would include all major carbon polluters is "too much", a senior Chinese negotiator said at UN talks here. "I exchanged views with my European colleagues before I came here and told them very clearly that a mandate is too much," Li Gao, speaking on the sidelines of the 12-day negotiations, told AFP late Tuesday. Under the European Union's scheme, advanced economies including the United States and emerging giants China, India and Brazil would pledge to hammer out a comprehensive agreement within four years, to be implemented no later than 2020. Without this, Europe says, the risk goes up of crossing the danger threshold of a 2.0 degree Celsius (3.6 degree Fahrenheit) increase in global temperatures. Hoping to coax developing countries into the deal, the EU says it is willing to renew CO2-reduction pledges under the embattled Kyoto Protocol, whose first round of cuts expires next year. Developing … [Read more...] about EU push for big climate deal ‘too much’: China
EU, India to work ‘full steam’ on free trade pact
The European Union and India will work "full steam ahead" in talks due to start next week on clinching an ambitious free trade pact ahead of a February deadline, the EU said Saturday. "The EU and India are working full steam ahead to find solutions which are acceptable to both sides," EU trade spokesman John Clancy said in a statement. Frustrated by delays in reaching an agreement, European governments threatened in September to break off talks with India on the free-trade deal and set a February 12 deadline to conclude a pact. Thirteen rounds of talks have already taken place. More work is needed on issues such as tariffs, services and procurement policy, the EU said. The EU statement said negotiations would begin from Monday and last until December 5. The talks are being held in Brussels, an EU spokeswoman said. "Intense negotiations will continue over the coming months to effectively solve the remaining core issues between now and the EU-India summit, which is scheduled for … [Read more...] about EU, India to work ‘full steam’ on free trade pact
EU says bailout fund chief to visit China
The head of the eurozone bailout fund will visit China and Japan this week, the European Union said Wednesday, as leaders of the bloc scramble to resolve its deepening debt crisis. Regling will travel to Japan at the weekend, EU officials in Tokyo said. The announcements came while European leaders prepared to hold a second emergency summit later Wednesday as they struggle to find ways to boost their defences against the region's worst financial crisis in decades. The EU did not say who Regling would meet in Beijing and Tokyo or give reasons for his visit, but European leaders have been toying with the idea of asking China, Brazil and other top emerging economies to come to their rescue. The eurozone wants to beef up its 440-billion-euro ($610 billion) rescue fund to convince markets it has the means to protect highly indebted nations such as Italy. The state-owned China Daily newspaper, citing a source close to EU decision makers, said Wednesday China and other top emerging … [Read more...] about EU says bailout fund chief to visit China
EU moves to ‘green’ its farms
The EU called for a greener, fairer farm policy Wednesday as it moved to radically overhaul its Common Agricultural Policy (CAP) by capping subsidies and tying them to environmental concerns. "The CAP must be redefined," the European Union's agriculture commissioner Dacian Ciolos told the European Parliament as he outlined a sweeping plan to reform the EU's often controversial farming subsidies from 2014. Among his proposals to rethink the CAP, which traditionally accounts for about 40 per cent of the bloc's annual spending of nearly 140 billion euros, is a call for 30 per cent of EU direct farm subisidies to be conditional on respect for the environment. The measures include crop diversity, maintaining permanent pastures and creating ecological fallows that are havens for plants, animals and insects on at least seven per cent of arable land. To even out subsidies in the interests of fairness, Ciolos wants to cap payouts to farmers at 300,000 euros ($424,000) per year. In … [Read more...] about EU moves to ‘green’ its farms