How the Southerners defeated Merkel…

It was 8 pm on Thursday. The leaders of the 27 EU countries had finalized the agreement on development and project bonds, and essentially postponed the burning issue of "further integration" for next December. Until that time the "winners" were French President Francois Hollande, who saw his proposal for development measures passing easily, and mainly German Chancellor Angela Merkel, who watched this Summit going by without actually being put under any pressure by the southerners. Herman van Rompuy prepared to leave the room to announce to reporters the agreement of the "27" for the development package.

 

Italian Prime Minister Mario Monti asked him in an intense style: "Where are you going?" The Summit had just begun!

 

The Italian Prime Minister had clearly warned that the summit would continue until Sunday evening if it was necessary in order to find a solution to the pressing problem of financing faced by his country and Spain. He wanted measures to reassure the markets. Spanish Prime Minister Mariano Rajoy had stood by him.

 

At that time the leaders of the 10 member states of the EU that are not part of the Eurozone decided to leave the room and allow the 17 to conduct their own "Eurogroup".

 

Three more hours passed. German Chancellor Angela Merkel would not discuss in any way the Italian/Spanish proposal for the use of funds from the support mechanisms to directly fund the banks or the buying of bonds of troubled States in the South. Herman van Rompuy finally decided he had to announce to the press the agreement on development. He tried to leave the room for a second time. Mario Monti insisted that if they did not come to an agreement to finance his country, he would not sign the development pact. Then, French President Francois Hollande urged the President of the European Council "to tell the truth to reporters."

 

Herman van Rompuy announced the 120-billion-euro agreement for the development of Europe, noting that Italy and Spain reserve their right to sign it. Hard consultations followed until the early morning.

 

As Spiegel writes in the relevant reports, Monti and Rajoy pounded Merkel and eventually won.

 

At 05:30 in the morning, Van Rompuy returned to the press room and announced an agreement for direct recapitalization of banks and the bond market by the support mechanisms (EFSF - ESM).

 

Shortly afterwards the winner of the evening, Mario Monti, left for his hotel and just announced to the reporters that he will go to Kiev for the Euro 2012 final. A few hours earlier Balotelli had worked magic on his behalf. Angela Merkel will have to stay home…