Italian PM slams northern EU states

“Some northern countries that publicly put under questions fundamental aspects of the last European Council are undermining trust in the eurozone,” Monti said on Saturday.

The Italian prime minister further called for a rapid implementation of the decisions reached at the summit “in operational terms.”

Monti comments come after a recent statement by Finnish Finance Minister Jutta Urpilainen, who said that Finland would rather exit the eurozone than bailout financially, troubled countries.

At the eurozone’s summit on June 29 in Brussels, leaders of the bloc’s leading economic powerhouses agreed to directly support the struggling banks and bring down the borrowing costs for the stricken member-countries such as Italy and Spain.

Netherland has also voiced opposition to strengthening the EU’s joint financial rescue mechanisms.

Meanwhile, Italian and Spanish borrowing costs widened again at the end of last week.

Spain, which recently sought a bailout for its banks, saw its yield on the 10-year government bond rise to nearly 7 percent, a level which analysts consider unsustainable over the longer term.

Various EU member states have been struggling with a deep economic stagnancy since the bloc’s financial crisis began roughly five years ago, forcing some of the most affected nations to adopt unbearable austerity measures to be eligible to get the EU bailouts.

PG/JR

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