Five ways to solve the EU crisis (without eurobonds)

After two years of intense negotiations and 19 crisis summits, EU leaders are still deeply divided over what action is needed to solve the eurozone sovereign debt crisis.

With politicians ‘kicking the can down the road', risk appetite remains stubbornly low, amid fears contagion could yet spread across the continent. The EU has announced it will hand Spanish banks €30bn of aid later this month, and will give the Spanish government an extra year to reach its deficit reduction targets. The move was described as a ‘lifeline' by the Spanish PM Mariano Rajoy, seen as enabling the country to clean up its stricken banking system. But bond investors were subdued following the announcement, deeming the proposal another short-term fix, and the yield on 10-yea...