As a key EU summit wrapped up in Brussels on Friday, German Chancellor Angela Merkel and French President François Hollande hailed a new deal that will allow eurozone bailout funds to recapitalise banks directly by bypassing national governments.
EU leaders have agreed to funnel money directly to struggling banks at a key summit in Brussels, a move European Council President Herman Van Rompuy called a "breakthrough". Delegates also agreed to provide a further €120 billion in stimulus funds.
US President Barack Obama ratcheted up pressure on Europe on Monday to resolve the European debt problem during an annual meeting with EU chiefs. In a joint statement the US and EU said they agreed on the need to work together.
Europe suddenly has a new leadership - how will the new post of President of the European Council, held by Belgian Herman Van Rompuy (pictured), square itself alongside José Luis Zapatero's Spanish presidency of the EU?
The European Union's first president, Herman Van Rompuy, officially took office Tuesday as the bloc's reforming Lisbon Treaty went into effect. The treaty is designed to boost the EU's global standing by streamlining its institutions.
What do European parliamentarians think of the nomination of Herman Van Rompuy and Catherine Ashton to the posts of EU president and foreign affairs chief? How are the new two going to work together? FRANCE 24 finds out.