PM on economic crisis

Prime Minister George Papandreou, addressing a Cabinet meeting on Wednesday, stressed that "we have an extended crisis in the EU, as well as worldwide, over the issue of debt, particularly in developed countries."

The prime minister referred in particular to the need for a coordinated Eurozone response, the need for arrangements with markets and in the financial sector, as well as a proposal for a tax on fiscal transactions in order to back the banking sector's participation, which "holds great responsibility for the crisis in 2008". He also said such funding would be a way of finding resources for the EFSF mechanism. (ana-mpa)

Papandreou also referred to the credit rating firms and to the Eurozone's problems, such as the lack of appropriate supervision, "of which we were also a victim with the previous government which, if it had dealt satisfactorily with such problems, we would not have reached the point of having such a debt and deficit."ana-mpa

He further referred to the Eurobonds issue, saying that such a tool would offer "greater depth to the bonds market and even more value to the euro itself.