The European Union is at a crucial moment that could be decisive for its future, European Commission President Jose Manuel Barroso said Wednesday. He expects strong agreement at a weekend summit of European leaders for guarantees to members of the euro single currency zone, the BBC informs. “In the summit on Sunday, obviously we expect a response, a strong response, to provide guarantees to all the countries in the euro zone, including Spain,” Barroso told a news briefing, when asked if he thought euro zone leaders might take any decision about assistance from the European Financial Stability Facility (EFSF) for Spain. “And obviously I can’t pre-empt specific decisions taken concerning Spain, and this would have to be considered together with the Spanish authorities anyway. But boosting the European stability fund is precisely so that if necessary we can respond to the situations in countries which are not currently covered by a program,” he said. The rating agency Moody’s on Wednesday downgraded Spain’s credit rating by two notches from Aa2 to A1 with a negative perspective. The privately owned agency explains its decision by highlighting what it considers to be the country’s vulnerability to market tensions and the predictions for a slow growth of its economy. Barroso did not want to comment Moody’s decision.
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