“These resources will be available for the whole membership of the IMF, and not earmarked for any particular region,” the statement reads.
“This effort, together with the national and regional structural, fiscal and monetary actions that have been put in place in the past months, shows the commitment of the international community to safeguard global financial stability and put the global economic recovery on a sounder footing,” it states.
Stabilizing Europe is seen as crucial for the global economic recovery, growth in U.S. equity markets and possibly the reelection of President Obama.
Greece, Spain and Italy have faced debt crises, which had provoked fears of a breakup of the eurozone. Returning to national currencies could have allowed these countries to use inflation to pay off their debts.