EU leaders reaffirmed their commitment to preserve the Economic and Monetary Union (EMU) and put it on a more solid basis, according to the conclusions adopted by the European Council held on June 28-29 in Brussels. To this end, a "Compact for Growth and Jobs", was signed at the summit, providing a coherent framework for action at national and EU levels, by mobilising € 120 billion for immediate investment. Also, a Euro Area Summit, held on June 29, decided on the direct recapitalization of banks via the establishment of an effective single supervisory mechanism involving the ECB, in an effort to "break the vicious circle between banks and sovereigns."
Speaking at a press conference, following the European Council, President of the Republic Karolos Papoulias expressed satisfaction over the summit’s fruitful outcome, making special reference to the adoption of immediate and substantive measures aimed at handling the pressures exerted on EU member-states by international markets.
He also underlined the need to adopt "all necessary changes in Greece’s economic adjustment programme to make it more functional and fair, without unilateral moves and in a constructive spirit of cooperation with its partners."