Obama: Europe’s Economic Crisis Entirely Solvable

Posted June 19th, 2012 at 8:45 pm (UTC-5)
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U.S. President Barack Obama says he is confident European leaders can resolve the continent's economic problems, saying these are not dysfunctional and unproductive countries.

Speaking to reporters after the G20 summit in Los Cabos Mexico Tuesday, Mr. Obama says all of Europe's problems are entirely solvable. He described the economic crisis as a complex combination of public debt and private sector problems.

But he said European leaders understand the urgency to take decisive action and create a positive cycle in the markets. He said this would break what he calls the “fever” of uncertainty among the European people. He said Europe will solve its own problems, and the solution will not come from the United States or other countries.

The G20 leaders recognize in their final declaration that the global economy is vulnerable and is having a negative impact on the lives and jobs of everyday people.

They agreed to work together to address financial market tensions while increasing more opportunities for those in developing countries.

French President Francois Hollande said earlier Tuesday that he and German Chancellor Angela Merkel know Europe must come up with its own response to the crisis rather than seek solutions from the outside. He said the International Monetary Fund is not there to “backstop” the eurozone, even though it has done that for some countries, such as Greece.