February 12th, 2013
07:03 AM GMT
Share this on:

(CNN) – Not even six months ago, eurozone watchers had been prognosticating a breakup of the 17-member bloc of nations as the euro plunged to a 25-month low against the U.S. dollar last July.

But since then, the euro has appreciated nearly 11% as its member countries battled to contain sovereign debt crises, rising unemployment and social unrest. The euro now stands at a 13-month high against the greenback.

And flying in the face of last year’s critics, Jean-Claude Trichet, the former chief of the European Central Bank told CNN’s Nina dos Santos that the euro “was never about to collapse” and that its viability as a currency is solid.

“The euro as a currency has never been put in question,” asserted Trichet while at the same time admitting the euro area’s financial stability and credit worthiness had been tested.

But as G20 finance ministers head to Moscow this week for another summit, fears of a currency war continue to loom large. Read more here to find out the details of what Trichet calls a euro "recipe for catastrophe".



Post a comment


 

CNN welcomes a lively and courteous discussion as long as you follow the Rules of Conduct set forth in our Terms of Service. Comments are not pre-screened before they post. You agree that anything you post may be used, along with your name and profile picture, in accordance with our Privacy Policy and the license you have granted pursuant to our Terms of Service.

About Business 360

CNN International's business anchors and correspondents get to grips with the issues affecting world business, and they want your questions and feedback.

 
 
Powered by WordPress.com VIP