european union

Contributing to EU rescue fund expansion is not on Swedish agenda

While the EU leaders are talking about expanding rescue funds to between one and two trillion Euros, Prime Minister Fredrik Reinfeldt has said Sweden won't be one of the nations contributing, since Sweden is not in the Eurozone. It operates on the Swedish crown instead.

However, he said Sweden has to stand up for helping the banks with new capital, because deeply rooted problems in Europe's financial system will affect Sweden's banks, too, and that would in turn affect people's ability to save and borrow money.

On Sunday, EU government heads will meet in Brussels to discuss the new suggestions for responding to economic crisis.