Saturday, December 10, 2011

Euro crisis: US General Martin Dempsey warns of unrest

Gen Dempsey said it was unclear the latest steps taken by EU leaders would be enough to hold the eurozone together, adding that a break-up could have consequences for the Pentagon.

Twenty-six of the 27 EU countries have agreed to forge a tighter fiscal union.


Only the UK refused to sign up to a new treaty, citing national interest.


Gen Dempsey, who is chairman of the Joint Chiefs of Staff, told an event hosted by the Atlantic Council, a Washington think-tank: "The eurozone is at great risk."


"I know that they've taken some measures here with the 17 members of the eurozone to try to better align... monetary and fiscal policy. But it's unclear, to me at least, that that will be the glue that actually holds it together."

Funding impact?

Gen Dempsey previously served as the Army's Chief of Staff and as a general in Iraq.


He suggested that part of his concern was that the US military could be exposed to any unravelling of the eurozone "because of the potential for civil unrest and the break-up of the union".


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