ITALIANS FEAR A EURO APOCALYPSE AS CRISIS SPREADS TO GERMANY
By Alison Little
Saturday June 23,2012
ITALY yesterday raised the stakes for the future of the euro by warning there is just one week to save the single currency.
Its prime minister Mario Monti painted an apocalyptic picture of what would follow if EU leaders failed to deal with the debt crisis at a summit of all 27 states in Brussels next week.
New fears have emerged that the eurozone’s biggest economy Germany could be slipping into recession which would be a blow to saving the single currency.
A key measure of German business optimism fell this month by more than market analysts had expected.
Earlier this week, a separate survey indicated that Germany’s manufacturing sector was also slowing down.
Weaker economic conditions could undermine its ability and the willingness of its already resentful public to help their debt-laden eurozone partners.
Leaders at next week’s summit will seek to focus on growth and jobs as well as sending out signals of unity in a bid to stabilise the eurozone.