Under pressure from financial markets and anxious world leaders,European leaders on Monday,pledged to consider steps toward a more integrated financial architecture that would include common banking supervision and firm guarantees to repay bank depositors in a draft G20 communique.
Leaders from the G20 countries agreed to prioritise boosting growth and job creation. G20 leaders further said that countries without heavy debts problems were ready to act together to spur growth,if the economy slows a lot more.
EU President Jose Manuel Barroso said G20 members must understand it will take time for the 17 euro zone democracies to agree on how to build a full financial,fiscal and political union.
EUs battle against its debt crisis dominated the opening G20 discussion.
Spanish short-term debt costs reach alarm levels
MADRID/ATHENS: Spain paid a euro era record price to sell short-term debt on Tuesday,pushing it closer to becoming the biggest euro zone country to be shut out of credit markets. The soaring borrowing costs highlight the shortcomings of a June 9 euro zone deal to lend Spain up to 100 billion euros ($126 billion) for its banks.