Guy Verhofstadt, leader of the Liberals and Democrats group in the European Parliament expressed his frustration today at the escalating severity of the Eurozone crisis and the inability of EU leaders to respond with the necessary policy measures.

"Every day, it becomes increasingly clear that it is neither Greece, nor Portugal, nor Spain that are creating the crisis in the Eurozone, but the inability of European political leaders to take the right policy decisions.

That inability is the reason why

-there is still no true Economic and Fiscal Union established;
-there is still no euro bond market, or a least a redemption fund;
-there is still no real growth strategy implemented.

The inevitable consequence of this terrible incapacity is that the euro crisis continues to spread and extend. This crisis would never have grown to this extent if European leaders had declared solidarity with all euro countries, instead of being caught up by populist fright.

Bad governance is the only explanation for such an approach and attitude."