Eurozone finance ministers to discuss bailout fund

Eurozone finance ministers will meet in Brussels later to discuss ways to expand the region's bailout fund, seen as key to preventing more countries being sucked into the debt crisis. They are also expected to discuss releasing more bailout funds to Greece. Leaders had hoped to expand the European Financial Stability Facility to about 1tn euros ($1.3tn; £860bn). This is now seen as unlikely, with some analysts fearing the total agreed will fall short of market expectations. One way ministers hope to boost the value of the fund is to offer insurance on up to 30% of the value of sovereign bonds as a way of boosting demand for government debt. Increasing the power of the EFSF is seen by investors as vital to combating the debt crisis. While current bailout provisions were adequate for countries such as Greece, Portugal and the Irish Republic, much greater firepower is needed in case larger economies such as Italy and Spain need help.