EU proposing to issue its own bonds

[BoyRacer]

The writing on the wall - Daniel Hannan -> blogs.telegraph.co.uk/news/danie … -the-wall/

The EU is now proposing to issue its own bonds, as a step towards a single euro-zone bond market. And who will be backing these bonds? Why, the already indebted national governments, several of which are struggling to pay off their own bonds. Debt is piled upon debt.

I have argued before that Britain must refuse to join in any bail-out of Portugal, on grounds that such a bail-out would be bad for Portugal, bad for Britain and illegal under the EU’s own treaties. The option of refusal, however, is not open to states which are in the euro zone. So, among the countries obliged to participate in the rescue package will be, er, Greece and Ireland.

We will not solve the debt crisis by taking out new loans. There must, in time, be a reckoning. As that great Tory, Jonathan Swift, put it:

*A baited banker thus desponds,
From his own hand foresees his fall,
They have his soul, who have his bonds;
‘Tis like the writing on the wall.
*