Eurozone 'needs bigger bailout fund' - papers

EU leaders have called for more effective action to defend the euro by increasing the hundreds of billions in the eurozone's bailout fund and extending the fund's scope to include bond-buying and short-term credit for countries in distress.

While the French and German governments have dismissed the calls as unnecessary, José Manuel Barroso, president of the European commission, is insisting on agreement to boost the bailout fund within three weeks, the Guardian reports. Although Portugal has passed a significant test on the bond markets by raising €1.2bn at a less stringent than expected rate of 6.716%, commission officials are insisting persuasive action is needed to counter market attacks on the weaker members of the single currency. With fears that Spain and Belgium will also need help, a senior official says: ...