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Germany, Italy vow to 'protect euro zone'

Published on Jul 29, 2012 9:34 PM

BERLIN (AFP) - German Chancellor Angela Merkel and Italian Prime Minister Mario Monti pledged to do everything necessary to protect the debt-wracked euro zone, a statement said on Sunday.

Following a telephone conversation on Saturday, they "agreed that Germany and Italy will do everything to protect the euro zone", Berlin said in a statement.

The statement followed a similar pledge by the leaders of France and Germany on Friday and a statement on Thursday by the head of the European Central Bank (ECB), Mario Draghi, to "do whatever it takes to preserve the euro".

Ms Merkel and Mr Monti also called for an European Union (EU) agreement reached at a crunch summit on June 28 and 29 to be implemented "as quickly as possible". The accord last month paved the way for the euro zone's future 500-billion-euro (S$768 billion) bailout fund to recapitalise ailing banks directly, without adding to the national debts of struggling countries.

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