Reuters - Video

Edition: US | UK | IN | CN | JP

Video

G20 ends, Europe dominates

Friday, November 04, 2011 - 02:47

Nov. 4 - In a G20 summit dominated by concerns about Greece and the future of the euro zone, leaders of leading economies agree on a plan to boost growth and create jobs, and put together a list of 29 banks seen as so important to the world's financial system that they require more capital. Joanna Partridge reports

▲ Hide Transcript

View Transcript

There was no escaping the gloom in Cannes, even for G20 summit host, French President Nicolas Sarkozy. Despite hopes the euro zone debt crisis would be solved by now - the meeting of world leaders was clouded by tense discussions about Greece and the future of Europe. Europeans like Sarkozy welcomed Greece's decision not to hold a referendum. SOUNDBITE: FRENCH PRIME MINISTER, NICOLAS SARKOZY, SAYING (French): "The conditions are being created for a favourable consensus in Greece, on the October 27 accord, and we are very glad that the atmosphere in Greece today, at the end of this week, is nothing like it was at the beginning of last week." But EU leaders and the markets are already looking beyond the crisis in Greece - to the far more serious threat to the euro zone - Italy. The euro zone's third largest economy is seen as too big to fail. Leaders have welcomed Italian Prime Minister Silvio Berlusconi's agreement to allow the IMF to monitor its economic reforms - and he says he's not planning to step down. SOUNDBITE: Italian Prime Minister, Silvio Berlusconi, saying (Italian): "Frankly I can't see anyone in Italy who'd be able to promote Italy's interests in Italy and especially on the international stage." Europe, the ECB and the IMF discussed with Obama ways to increase the IMF's funds to prevent contagion from the euro zone crisis pushing the world economy back into recession. But few of Europe's G20 partners have shown interest in Europe's bailout fund, with China and other wealthy nations saying they'd need more detail first. PTC: The summit has undoubtedly been overshadowed by Greece and the euro zone's problems, but it's not just Europe that's going through tough economic times at the moment. And many who were hoping that this summit might provide bold solutions for the global economy's problems might go away from Cannes feeling disappointed. G20 leaders said they had agreed on an action plan for growth and jobs. And they named 29 banks seen as so important to the global financial system that they're likely to need more capital than rivals, and which should be wound up without taxpayer help if they hit trouble. IMF head Christine Lagarde said all the G20's decisions must be implemented. SOUNDBITE: Head of the International Monetary Fund, Christine Lagarde, saying (English): "We to just continue to be very careful about, you know, whether those good intentions, those commitments, are followed by actual delivery and action." And many will second that. With no real solution in sight for the euro zone's debt crisis, now really is the time for actions, not words. Joanna Partridge, in Cannes, for Reuters

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

G20 ends, Europe dominates

Friday, November 04, 2011 - 02:47