Portugal Wants U.S. To Offer 'Financial Help' In European Crisis

ASUNCION | Sat Oct 29, 2011 10:31am EDT
(Reuters) - Portugal asked Mexico on Saturday to tell fellow G20 members next week that the United States should offer "financial help" to resolve the euro zone sovereign debt crisis, describing it as a "systemic and global" problem, a Portuguese government source said.

Portuguese Prime Minister Pedro Passos Coelho asked Mexican President Felipe Calderon to convey the message during the G20 meeting in Cannes next week, the source told reporters after the two leaders met at the Ibero-American summit in Paraguay.

"The crisis isn't in the euro zone. It is a systemic and global crisis and we hope that other big G20 countries intervene," the source told reporters in the capital Asuncion, speaking on condition of anonymity.

The source added that Washington should help resolve the crisis "by boosting trade and also with financial help."

No one from Calderon's delegation in Asuncion could immediately be reached for comment.

Financial markets rallied strongly this week after European leaders hammered out a deal to recapitalize their banks, boost the firepower of a euro zone rescue fund, and impose hefty losses on holders of Greek debt.

However, economic analysts quickly warned that details of the rescue could still take weeks or even months to work out.

Portugal is suffering a deepening recession as it implements painful austerity measures under a 78-billion-euro ($110.3-billion) EU/IMF bailout.

(Reporting by Guido Nejamkis; Writing by Helen Popper; Editing by Paul Simao)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Comments

[tailgateshirts]

07:30 AM on 11/01/2011

Lol....those guys took one too many siestas if they think the US gonna bail them out

[castlemike]

09:54 PM on 10/30/2011

Political speak for We'll kick the can down the road with Yuan if the US doesn't backstop us with dollars:

http://www.bloomberg.com/news/2011-10-29/european-bailout-fund-could-one-day-issue-bonds-in-yuan-regling-says.html

European Bailout Fund Could ‘One Day’ Issue Bonds in Yuan, Regling Says

he euro area’s bailout fund could at some point issue bonds denominated in the Chinese currency, Chief Executive Officer Klaus Regling said in Beijing today.

“We are authorized to use any currency we want if it seems efficient so we may one day issue in U.S. dollars or renminbi,” said Regling, head of the European Financial Stability Facility, using another name for the yuan. “It depends whether the Chinese authorities would approve of that. I could imagine that over the years that might happen, maybe not immediately but maybe one day,” he said.

European leaders are seeking financial support from China, holder of the world’s largest foreign-exchange reserves, for an enlarged rescue fund aimed at containing the region’s sovereign- debt crisis. Vice Finance Minister Zhu Guangyao said yesterday his government wants more details about the “technicalities” before making any decision on investment.

Regling said yesterday that China, which has been a “good” and “loyal” purchaser of EFSF bonds so far, hasn’t set any conditions for buying more of the securities.

While China is the world’s second-largest economy, its currency isn’t freely convertible for investment purposes.

[hey- einstein]

06:34 PM on 10/30/2011

I think we need to send all the other nato members a bill for all the ammo we furnished them .Some frog emptied a clip from a Berretta and they were out of ammo.

[smokeystover39]

02:08 PM on 10/30/2011

Get involved with Europe?? Hmmm, an interesting idea one which we obviously have not given sufficient thought..........OH wait a minute. Two World Wars, big bucks to rebuild Europe, 60 years of "free" U.S. protection via NATO plus all the $$ poured into THEIR economies from our military bases and now they coming hat-in-hand for a bail out from Uncle Sugar!! Maybe that tax scofflaw Geithner will advise the Prez what a good deal this would be for the U.S., but WE HAVE THE POWER to inundate the White House with emails to let him know the Geithner is merely a bank pimp and WE, THE PEOPLE control the National credit card through the upcoming ballot box. Europe won't enforce their own tax laws uniformly so WE should pick up their slack? That does not even pass the laugh test.

[iam99]

11:11 AM on 10/30/2011

"It is a guaranteed of life of comfort and enjoyment," say the various fraud-masters and their political agents , except for EVERYBODY ELSE!

RICO ROCKS! but only when justice uses it.

[Tkevan]

10:35 AM on 10/30/2011

Wait. Is this the same European model some want us to follow? Sorry, not today. I gave at the office.

[katyland]

11:27 AM on 10/30/2011

Yes it is, amazing right, yea lets all follow the European model,

[Tkevan]

11:30 AM on 10/30/2011

Hey, we're already headed that way...

http://www.time.com/time/world/article/0,8599,2096185,00.html

Imagine adding a dollar to the cost of whole milk, meat, cheese, butter, etc.

[halfpricefaustian]

10:19 AM on 10/30/2011

We have been helping them all along. We gave their banks billions during the worst of the crisis. We continue to make dollars available for dollar trade operations in Europe. We carry a significant part of the IMF. We need to fix ourselves, Europeans can fix themselves.

[moose and squirrel]

10:11 AM on 10/30/2011

yo portugal, you see the mess WE are in? you don't want our help, believe me!

[Schoolgirl666]

09:44 AM on 10/30/2011

That's after we get some help for keeping al queda off their doorsteps.

[frappe]

08:36 AM on 10/30/2011

If they want help from the U.S., they'll have to get it from the top 1%. They're the ones who have been hoarding all of the wealth and, in fact, are largely responsible for mess we're in today, particularly those from the banking/investment community i.e. Wall St. Do not ask average Americans for help. They've been the victims in this scam as well.

[snafu20]

07:59 AM on 10/30/2011

asking the usa for help!! yeps. thats like asking a blind surgon to do a face lift

[castlemike]

07:33 AM on 10/30/2011

http://euobserver.com/843/114118

Czech PM mulls euro referendum

By Valentina Pop

BRUSSELS - The ruling euro-sceptic ODS party in the Czech Republic wants to push for a referendum on the country's future eurozone accession, claiming that the rules have changed since 2003 when Czechs said yes to the EU and the euro.

The recent agreement on another bail-out for Greece and on boosting the eurozone's bailout fund is fuelling Czech calls for a referendum, said Czech MEP Jan Zahradil, leader of the European Conservatives and Reformists.

"We should allow non-eurozone members – such as my country the Czech Republic – to decide again whether they wish to enter. We signed up to a monetary union, not a transfer union or a bond union in our accession treaty. This is the major reason why the Czech Prime minister wishes to call the referendum on this matter," Zahradil said in a statement.

The Czech Republic, along with all other eastern European countries that joined the EU in 2004 and 2007, is obliged to adopt the euro once budget deficit and other economic conditions are met.

Slovenia, Estonia and neighbouring Slovakia are already members of the 17-strong club. Latvia is also striving to join, while Poland, though still seeing it as goal, says eurozone accession is no longer a priority.

But none has so far demanded a referendum, since nine of newest member states, including the Czech Republic, already had a plebiscite on joining the EU.

[Steven Kaufman]

02:35 AM on 10/30/2011

What people need to realize is that all the big banking interests are connected. The U.S. resisted a central bank for nearly 150 years because even the average man on the street knew that dangers and that's before radio, TV, and the internet. Yet with infinitely more information available today, not 1/100 people understands how money works.

These same central bankers pushed for the EU to form and to have their one currency, The Euro. And in less than 12 years they have bled all the countries dry and are now trying to transfer that debt onto the backs of their best debt slaves, the US taxpayer.

It's time for America to wake up. How can anyone trust Obama when ex Goldman Sachs wonderboy, Turbo Tax Timmy Geithner is his treasure secretary? The banksters run it all and, mark my words, they will soon be asking for one world currency as has always been the plan and at that point they will have total control over the world. Educate yourselves before it's too late.

[Seer Clearly]

04:02 AM on 10/31/2011

Not the smartest teacup in the cabinet are ya? What's your explanation for all the horrific European and US depression cycles during the 1800s when there was no world curency standard or shared international currency?

The difference is that today, we have currency markets that function instantly. There's no need to blame a central bank or single currency: the worlds free markets make all the currencies function as one anyway. Try looking for a different cause for this worldwide recession: the banking companies that are trying to foreclose on whole nations, the 1% that has figured out how to turn the world's middle classes and poor into their serfs. With many like you willingly running into the slaughterhouse, mouthing the slogans they put in your mouth. This has nothing to do with one world currency, it has to do with us allowing the 1% to run the world.

[Steven Kaufman]

09:28 PM on 11/01/2011

Pick up a history book. I guess you are not aware that the central bank already operated in Europe prior to the 1800s? The Bank Of England was established in 1694. The English central bankers knew the result of Waterloo before the Crown did. You should probable put your $6 latte down and research these things before you post.

What horrific depression cycles in the U.S. during the 1800s? Boom bust cycles, sure, but there were no horrible depressions that didn't resolve on their own. Hard currencies limit the severity of boom bust cycles. The Federal Reserve was founded in 1913. How long did it take until the 1st Great Depression there genius? I have heard of that Great Depression, but I guess there are far more horrific ones that somehow only you know about?

You are not a winner, please play again, thanks kiddo.

[election2012]

02:05 AM on 10/30/2011

No more increases in foreign aid until Congress can reduce the deficit and further stimulate the economy to create jobs.

[snafu20]

08:00 AM on 10/30/2011

how about no aid to any country but ours.

[katyland]

11:26 AM on 10/30/2011

now thats a statement I can agree with,, Tax funds should go to aid America,and Americans,

[election2012]

01:59 AM on 10/30/2011

They've got to be kidding. We're not obligated to help. Have they no clue that Congress has got to get a handle on the economy here before we dole out more foreign aid?