Newsline | 07.10.2008, 16:15 UTC

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Newsletter | 07.10.2008, 16:15 UTC
Newsline
World news: international
Overview of Topics
EU Leaders Agree to Guarantee Private Bank Deposits
EU agrees joint plan for financial crisis
Hypo Real Estate chief takes his hat
Iceland thumped by credit crisis
Gates opposes any partition of Kosovo
Craft stopped in Iran was Hungarian
Suspected terrorists released in Germany
Russia: Pullout from Georgia buffer zone ready to begin
Deadly car bomb in Bangkok as violence intensifies
Turkish jets bombs PKK targets in Iraq
Japanese duo and US scientist win Nobel Physics Prize
German cabinet approves ISAF mission extension
EU Leaders Agree to Guarantee Private Bank Deposits
European stock markets continued to slide in volatile trade Tuesday as finance ministers from across the continent unified to urge greater measures to secure private bank deposits in the European Union.
[more]
Video Financial Crisis: Iceland Takes Control of Landsbanki
Video Financial Crisis: No Agreement on Common Financial Policy
Video Interview with Finance Expert Thomas Straubhaar
> German Government Under Pressure to Deliver on Crisis Promise
> Germany Mulls Umbrella Protection for Entire Bank Sector
> Europe Follows Germany's Financial Guarantee Plan
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Current Article
EU agrees joint plan for financial crisis

European finance ministers have agreed to support large, troubled banks in a bid to protect the financial system from collapse. French Finance Minister, Christine Lagarde, said the European Union would also guarantee bank deposits of up to 50,000 euros, with some members extending guarantees to double that figure. The EU Commissioner for Economic Affairs, Joaquin Almunia, said the bloc was preparing to take further co-ordinated action with international partners. EU finance ministers gathered in Luxembourg, for crisis talks to establish a unified response to the credit crisis which is gripping financial markets.

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Hypo Real Estate chief takes his hat

The credit crisis has forced the chief executive of troubled German mortgage lender Hypo Real Estate to resign. Georg Funke stepped down just days after the German government put together a 50-billion-euro bailout for HRE. His departure was imminent after German Chancellor Angela Merkel said that those who managed Hypo Real Estate would have to answer for their irresponsible ways.

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Iceland thumped by credit crisis

The financial turmoil is hitting Iceland especially hard, with another bank succumbing to the crisis. The Icelandic Financial Supervisory Authority said it would take over the country's second largest bank by value, Landsbanki. Earlier, Prime Minister Geir Haarde said in a nationally televised speech that the government had assumed sweeping powers over the country's financial sector to prevent Iceland from going into bankruptcy. The central bank said it would open negotiations with Russia for a four-billion-euro loan over the coming four years.

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Gates opposes any partition of Kosovo

United States Defence Secretary Robert Gates has concluded a short visit to Kosovo. After meetings with Kosovo leaders, including the president and prime minister in Pristina. Gates said he opposed any partition of Kosovo, which has a large ethnic Albanian majority but a Serbian minority that seeks governance by Belgrade. Kosovo declared independence in February and has been recognised by nearly 50, mostly Western, countries. Russia and Serbia refuse to admit Kosovo's independence. Gates is the highest-ranking US official to visit the Balkan state since it declared independence.

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Craft stopped in Iran was Hungarian

Iranian state television has reported that Iran forced a Hungarian plane to land after it strayed across Iranian airspace in September. The state-owned al-Alam television said the plane did not contain Americans, and was not a US military aircraft, contradicting earlier reports by Iranian news services. The Iranian Fars new agency initially reported that Iran forced a US military plane to land on Sunday, after it violated Iranian airspace. A pentagon spokesperson immediately denied that claim, and added that all US military craft were accounted for.

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Suspected terrorists released in Germany

One-and-a-half weeks after the spectacular arrest of two Somali citizens at a German airport, the two have been released. Prosecutors in the city of Bonn said they continued to suspect the men for planning a criminal act. But they said after analysing the evidence at hand it was not possible to charge them. The two Somali men were removed from a flight bound for Amsterdam at the Cologne-Bonn airport in late September. At the time they were suspected of planning suicide bomb attacks.

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Russia: Pullout from Georgia buffer zone ready to begin

Russia's military says that its pullout from the buffer zone around Georgia's breakaway region of South Ossetia will get underway in the next 24 hours. The commander of Russian forces around South Ossetia, General Marat Kulakhmetov, said the withdrawal would be completed in one day. There was no mention of Russian forces leaving the buffer zone around the breakaway region of Abkhazia. Under a cease-fire agreement, Russia is committed to a complete pullout of its troops from the security zones around the two provinces by the end of this week.

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Deadly car bomb in Bangkok as violence intensifies

A suspected car bomb has killed a woman in Bangkok, shortly after violent clashes between police and anti-government protesters. The device went off near Thailand's parliament building where earlier thousands of demonstrators protested against the government and fought with police. At least 190 protesters were hurt as the police used tear gas to disperse them. Later, Western media sources said shots were fired at police protecting the parliament, injuring two of them. Members of the People's Alliance for Democracy have been demonstrating for months to force the government to resign, saying it is simply a proxy for former prime minister, Thakshin Shinawatra, who was forced from office in 2006.

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Turkish jets bombs PKK targets in Iraq

Turkish warplanes have bombed more than 20 Kurdish rebel targets both inside the country and across the border in northern Iraq. The Turkish army said the targets on Tuesday belonged to the PKK, the Kurdistan Workers Party. The raid was the fourth strike against PKK hideouts inside Iraq since the militants killed 17 soldiers in a bloody attack Friday on a military outpost close to the border. Turkey charges that thousands of PKK rebels enjoy a safe haven in the autonomous Kurdish-run north of Iraq and use the region as a springboard for attacks on Turkish targets across the border. The PKK - considered a terrorist organization by the US and Europe - took up arms for self-rule in Turkey's predominantly Kurdish southeast in 1984. The conflict has claimed about 44,000 lives.  

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Japanese duo and US scientist win Nobel Physics Prize

This year's Nobel Physics Prize has been awarded to two Japanese and a Tokyo-born American for their work in sub-atomic physics. The Nobel Committee for Physics in Stockholm recognised Japan's Makoto Kobayashi and Toshihide Maskawa, and Yoichiro Nambu of the United States for their pioneering work on quarks, fundamental particles of matter.

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German cabinet approves ISAF mission extension

The German cabinet has voted to extend the mission of Germany's troops in Afghanistan another 14 months. The new mandate also allows for an increase of 1,000 troops in the NATO-led International Security Assistance Force to a maximum of 4,500. Currently some 3,300 Bundeswehr soldiers are serving in Afghanistan. Parliament begins its debate over the mission this Tuesday. A final vote is expected by the end of the month. Its approval from the grand coalition is virtually assured.

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