Philanthropist and former financier George Soros is urging European authorities to take more decisive action to protect the economies of Italy and Spain from financial strain.

He said at the World Economic Forum on Wednesday that the "half measures" adopted so far are insufficient to bring them back to growth.

Labeling Germany a task master imposing its strict anti-inflationary viewpoint on the rest of the continent, he said that weaker countries of the eurozone have been "relegated to the status of third world countries" having to pay back debts in a foreign currency.

He voiced fear that unrealistic demands placed on the weaker economies will exacerbate political tension within the European Union and proposed issuance of joint eurobonds.