G20 leaders address eurozone crisis

THE G20 leaders will continue talks on Friday aimed at resolving the eurozone debt crisis.

Discussions are set to focus on ways of increasing the clout of the International Monetary Fund (IMF) to help it assist ailing economies.

The first day of talks had been notable for the first open admission from EU leaders that Greece may have to be axed from the Eurozone to ensure the survival of the single currency.

Political pressure on the government in Athens had led to the scrapping of plans to hold a referendum as Greece continues to drag its heels over a bailout agreement.

The uncertainty created by Greek Prime Minister George Papandreou has increased fears about the impact of the crisis on vulnerable European economies including Spain and Italy.

Before the summit in Cannes, Spanish Prime Minister Jose Zapatero urged the G20 countries least affected by the crisis to provide ‘urgent stimulus plans’ to protect the global economy.