Euro continues to slide against the dollar over debt fears

5 May 2010

The euro has fallen to its lowest level against the dollar for 13 months as fears grow about the debt levels of eurozone members.

It now stands at $1.2954, as investors show their concern that the financial maelstrom which is affecting Greece will spread to other countries which use the currency, reports BBC News.

A €110 billion ($143 billion) bailout package was provisionally agreed for Greece by other members of the eurozone over the weekend and now the politicians who engineered the deal are attempting to get their parliaments to back the move.

German chancellor Angela Merkel said: "The future of the European Union and the future of Germany within the EU is at stake."

Spain, Portugal, Italy and Ireland are widely believed to be the countries most at risk of following Greece into economic meltdown.

Last week, credit rating agency Standard and Poor's downgraded its ranking for the financial viability of Spain's debts.

By Asim Shah

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