Costas Simitis
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The Union at a dead end
Change of course on 29 June
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The chapter discusses the handling of the crisis over the Spanish banking sector in June 2012.It is argued that this marked an important turning point in the evolution of the Eurozone crisis, as the German policy prescription came under concerted criticism. The decisions of the European Council of 29 June 2012 offered a new paradigm in the management of the crisis, not least because of the decision to allow the recapitalisation of European banks directly through the EFSF and the ESM. This also paved the way for a banking union within the Eurozone.

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The European debt crisis

The Greek case

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