German Chancellor Angela Merkel and Italian Prime Minister Mario Monti have vowed to defend the euro amid escalating tensions in Eurozone, close on the heels of a similar agreement between Merkel and French President Francois Hollande.
During a telephone conversation on Sunday, Merkel and Monti agreed that both the countries "will do everything possible to protect the euro area," reports said.
They also stated that the decisions made at the EU summit last month must be implemented as quickly as possible. According to reports, Monti accepted Merkel's invitation to travel to Berlin in the second half of August.
On Friday, in a joint declaration issued in Berlin, Merkel and Hollande said their countries were "deeply committed to the integrity of the eurozone" and pledged to do everything in their power "to protect" the single currency bloc from collapsing.
The statements from the leaders follow a similar assurance from European Central Bank President Mario Draghi on Thursday. Draghi had said the central bank is prepared to take "whatever it takes to preserve the euro" and act on rising bond yields.
The assurances from the top leaders have raised hopes of more EU action to ease the ongoing debt crisis in the Eurozone. Also, speculations are rife that the central bank may resume purchases of Spanish government bonds.
by RTT Staff Writer
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