Failure to resolve the euro-area crisis could result in a renewed global economic weakening and weigh on U.S. trade, said Charles Collyns, the Treasury Department’s assistant secretary for international finance.
Europe’s economic recovery is threatened by “sluggish” demand as well as ongoing weakness in countries like Greece, Ireland and Portugal, a U.S. Treasury aide said.
Charles Collyns , assistant U.S. Treasury secretary for international finance, said parts of the euro area are economically fragile and could cause problems for other countries.
U.S. and Asia-Pacific leaders meeting this week in Hawaii will try to turn away from the European debt crisis to discuss how to boost trade and global economic growth, a U.S. Treasury official said.
The end of a decade-long boom driven by cheap money and strong commodity prices has deeply divided Latin America between fast-growth countries along the Pacific coast and stragglers on the Atlantic.
Known unknowns are multiplying in a new threat to global economic expansion.
"My concern is that the markets are looking for a ramping up of policy support elsewhere and that may not be delivered."
- Charles Collyns on Oct 15, 2014