Global Politics

EU show of unity

If you had money in a European bank it was probably protected up to $35,000 until today. from now on you'll get a better deal and European leaders agreed to double that guarantee amount. The French Finance Minister said she and her colleagues are rising to the occasion. European central banks have been injecting thousands of dollars into their capital markets in order to save banks, but they haven't agreed on a coordinated plan of rescue which worries many Europeans, and people are worried that their savings won't be secured and will take their money out. That's a worst case scenario�a massive run on European banks. Today's increasing in saving insurance should calm nerves but doesn't prohibit countries from setting better deals for consumers, as Ireland has done by guaranteeing 100% of every savings account. Ireland's leader says other European leaders should follow his lead to generate confidence. Germany and Greece also offer blanket protections but this disparity has set off bickering in Europe, and those countries are being blamed for trying to lure foreign consumers to their banks.

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