EU unveils its vision for the future of monetary union

European authorities have unveiled their vision for the future, which gives them much greater powers. It includes the creation of a European treasury, which would have powers over national budgets. European Commission President Jose Manuel Barroso said it was "a defining moment for European integration". The 10-year plan is designed to strengthen the eurozone and prevent future crises, but critics say it will not address current debt problems. This week, some markets fell sharply on fears that leaders at the EU summit on Thursday and Friday would fail to agree immediate measures to try to stem the current crisis, which has now engulfed five eurozone members. Spain is negotiating the terms of loans worth up to 100bn euros for its banks, and the new Greek government wants to ease the terms of its huge bailout. The governor of the Bank of England, Sir Mervyn King, expressed concern about the recent response of European authorities. "I am pessimistic. I am particularly concerned because over two years now we have seen the situation in the euro area get worse and the problem being pushed down the road," he said, while appearing at a parliamentary hearing.