core sector communique

Obama Meets with French, German Leaders on Debt Crisis

By Merle David Kellerhals Jr.

Staff Writer

Washington - President Obama met separately with French President Nicolas Sarkozy and German Chancellor Angela Merkel before the opening of the Group of 20 advanced economies leaders summit in Cannes, France, and resolving the European debt crisis was at the center of their talks.

"The most important aspect of our task over the next two days is to resolve the financial crisis here in Europe," Obama said November 3 after a meeting with Sarkozy.

"We also discussed the situation in Greece and how we can work to help resolve that situation as well. And the United States will continue to be a partner with the Europeans to resolve these challenges," he said.

Obama said the European Union has taken some important steps toward a comprehensive solution. On October 27, EU leaders agreed to support a second 100 billion euro bailout plan for Greece, which is in danger of defaulting on its debts. The EU also negotiated a plan with bondholders to write down the value of the Greek debt they hold by 50 percent.

"But here at the G20 we're going to have to flesh out more of the details about how the plan will be fully and decisively implemented," Obama said.

Sarkozy said at a press briefing with Obama that he and Obama are trying to build unity at the G20, which began meetings November 3 and will continue through November 4. "I wish to pay tribute to the United States for understanding about all the issues we'll be discussing over the next 48 hours, and in particular, the issue of the Greek crisis, the difficulty that the euro is facing," Sarkozy said.

Before going into individual talks with Merkel, Obama told reporters that a central concern for the G20 talks is how to achieve greater global economic growth and expand employment.

Deputy National Security Advisor Mike Froman said at a press briefing in Cannes that while the Eurozone crisis is a central issue, the leaders will also discuss more generally the broad G20 agenda, which focuses on a framework for strong, sustainable and balanced growth, financial regulatory reform and steps to implement new regulations globally.

Froman, who advises the president on international economic affairs, also said the leaders can be expected to discuss economic development, food security and other significant global issues in the course of detailed talks over the two days.

(This is a product of the Bureau of International Information Programs, U.S. Department of State.)