A look at economic developments around the globe

AP News
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Posted: Oct 26, 2011 1:17 PM
A look at economic developments around the globe

A look at economic developments and activity in major stock markets around the world Wednesday:

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BERLIN _ Chancellor Angela Merkel won the support of German lawmakers to increase the firepower of the eurozone's bailout fund and indicated that private investors like banks should take losses of at least 50 percent on their Greek debt holdings.

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BRUSSELS _ The prime minister of Belgium says the eurozone's bailout fund should have a firepower of more than $1.4 trillion to prevent the currency union's debt crisis from spreading.

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LONDON _ European shares treaded water as traders awaited details of a plan to contain Europe's sovereign debt crisis that would limit damage to the continent's banks.

Ahead of the summit, Britain's FTSE 100 closed up 0.5 percent, while Germany's DAX slipped 0.5 percent. France's CAC-40 ended 0.2 percent lower.

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TOKYO _ In Asia, Japan's Nikkei 225 stock average fell 0.2 percent while Hong Kong's Hang Seng index added 0.5 percent. South Korea's Kospi advanced 0.3 percent.

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FRANKFURT, Germany _ The European Central Bank has loaned $65.3 billion to 181 banks for a year as part of its efforts to steady the banking system against the turmoil of the eurozone debt crisis.

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MILAN _ Pressed hard by the EU, Premier Silvio Berlusconi averted a government collapse and reached a deal with allies on emergency growth measures in time for an EU summit on saving the euro.

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MANILA, Philippines _ The World Bank says many developing countries have been hurt by a wave of effects from Europe's debt crisis and there is need to put in place programs to cushion their impact on the poor.

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SHANGHAI _ China's bank regulator has ordered lenders to offer further help for smaller companies struggling with debt because of difficulties in obtaining credit.

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BUDAPEST, Hungary _ Hungary's economy minister says there is a "realistic" danger that one of the credit rating agencies will downgrade the country's debt rating, but that such a move would not imply additional risks for Hungary.

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DUBAI, United Arab Emirates _ Middle Eastern countries without significant oil resources face a sharp slowdown in economic growth as the effects of the Arab Spring reverberate across the region, the International Monetary Fund said.

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DUBAI, United Arab Emirates _ A Dubai government investment company is teaming with Brookfield Asset Management to set up a fund to invest in the city-state's battered property market.

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DUBAI, United Arab Emirates _ Dubai is significantly expanding its cruise ship port in an effort to attract more seafaring tourists to the city's Persian Gulf shores.

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