Brazil is ready to join an
international effort to help European countries cope with a
debt crisis, President Dilma Rousseff said on Wednesday, but
called on euro zone nations to come up with a rescue plan.
European Commission President Jose Manuel Barroso said
earlier in the day that the body will soon present options on
how the euro zone might issue bonds jointly, but warned there
was no simple solution to a debt crisis that threatens Europe's
economic and political future.
Still, Rousseff voiced concern over growing bickering among
politicians in developed nations facing serious debt problems
is hampering efforts to revive their economies. The lack of
political willingness in those countries could delay a
recovery, she noted.
"There is not an international solution to this problem.
Since there's no possible form of solution to the euro region
problem, then what we need is that that they decide and come up
with a framework for a rescue," Rousseff said.
"Brazil will always be ready to participate in any
international effort," she added.
Her remarks come as concern amounts among policymakers that
the impact of the debt crisis is afflicting a number of
European countries, and that problems could spread to Brazil.
Latin America's largest economy is likely to grow this year at
half the pace of last year's 7.5 percent expansion.
In the case of the United States, Rousseff, a trained
economist, said that the country needs more fiscal stimulus as
the ongoing monetary expansion aimed at resuscitating credit
and consumer demand is losing momentum.
"Right now there are politicians objecting to more fiscal
spending, when we all know that the U.S. needs is that type of
stimulus -- the quantitative easing has just lost its effect,"
Rousseff said.
Rousseff dispelled recent worries that the country's
economy is facing a quick downturn in consumer spending. She
also said that the ongoing economic slowdown is "not a worry"
to policymakers in her administration.
