Politics To Block Debt Crisis Steps At EU Summit

Political turmoil in Portugal and looming elections in other countries are expected to prevent a summit of European Union leaders this week from taking tough decisions to address the region’s debt crisis.

For months, EU leaders have talked about using the summit in Brussels on Thursday and Friday to reach final agreement on a “comprehensive package” of steps that would stop the crisis from spreading further through the 17-country euro zone.

The Portuguese Prime Minister Jose Socrates submitted his resignation on Wednesday night after parliament rejected his government’s latest austerity measures.

They were designed to help Portugal avoid having to seek an international bailout.

Socrates is now expected to attend the summit as the leader of a caretaker government which might last no longer than Friday.

Major decisions affecting the euro zone have to be agreed by all members of the zone.

Portugal might only be able to give its assent after it forms a new government, which could take two months.