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| Germany acts to guarantee savings | Germany acts to guarantee savings |
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| Chancellor Angela Merkel has announced that Germany will guarantee all private savings accounts, as a major bank struggles to stay in business. | Chancellor Angela Merkel has announced that Germany will guarantee all private savings accounts, as a major bank struggles to stay in business. |
| Ms Merkel was speaking after an emergency meeting with the central bank and financial regulator. | Ms Merkel was speaking after an emergency meeting with the central bank and financial regulator. |
| Hypo Real Estate, Germany's second biggest commercial property lender, is in trouble after a 35bn euro ($48bn; £27.2bn) rescue plan collapsed. | Hypo Real Estate, Germany's second biggest commercial property lender, is in trouble after a 35bn euro ($48bn; £27.2bn) rescue plan collapsed. |
| Hypo has said it will study alternative measures to fund its business. | Hypo has said it will study alternative measures to fund its business. |
| Ms Merkel had previously been strongly critical of the Irish and Greek governments' decisions to take independent action to protect all savings deposits. | Ms Merkel had previously been strongly critical of the Irish and Greek governments' decisions to take independent action to protect all savings deposits. |
| That Germany is the first of the major European economies to provide 100% insurance to private savers shows just how fragile its banks have become Robert PestonBBC business editor Peston's view: Full protection nighSend us your commentsNo business rush to Irish banks BBC business editor Robert Peston says the unilateral German decision is a surprise, coming just hours after Europe's major economies agreed to co-ordinate their response to the crisis, and that all other EU countries - including the UK - will almost certainly follow suit. | |
| "We tell all savings account holders that your deposits are safe. The federal government assures it," Ms Merkel said. | "We tell all savings account holders that your deposits are safe. The federal government assures it," Ms Merkel said. |
| "We will not allow the distress of one financial institution to distress the entire system. For that reason, we are working hard to secure Hypo Real Estate." | "We will not allow the distress of one financial institution to distress the entire system. For that reason, we are working hard to secure Hypo Real Estate." |
| The BBC's Tristana Moore in Germany says the government is under intense pressure to save the bank before markets reopen on Monday. | The BBC's Tristana Moore in Germany says the government is under intense pressure to save the bank before markets reopen on Monday. |
| 'Irresponsible' | 'Irresponsible' |
| The collapse of Hypo Real Estate will put further strain on other financial institutions, which are struggling against a crisis of confidence in the global financial system. | The collapse of Hypo Real Estate will put further strain on other financial institutions, which are struggling against a crisis of confidence in the global financial system. |
| Ms Merkel also said that managers at financial institutions should be held accountable for "irresponsible behaviour". | Ms Merkel also said that managers at financial institutions should be held accountable for "irresponsible behaviour". |
| Finance Minister Peer Steinbrueck said he was "appalled" that the problems at Hypo had not been revealed earlier. | Finance Minister Peer Steinbrueck said he was "appalled" that the problems at Hypo had not been revealed earlier. |
| Hypo's problems should have been revealed earlier, a minister says Hypo Real Estate relies heavily on borrowing from other banks to fund its business and has suffered badly as banks have become increasingly cautious about lending to each other. | Hypo's problems should have been revealed earlier, a minister says Hypo Real Estate relies heavily on borrowing from other banks to fund its business and has suffered badly as banks have become increasingly cautious about lending to each other. |
| Just last week, the firm announced that it had succeeded in securing a credit facility worth 35bn euros, stitched together by the government. | Just last week, the firm announced that it had succeeded in securing a credit facility worth 35bn euros, stitched together by the government. |
| Under the deal, the government was going to provide the lion's share of the loan, with a consortium of banks providing 8.5bn euros. | Under the deal, the government was going to provide the lion's share of the loan, with a consortium of banks providing 8.5bn euros. |
| It was designed to make sure that Hypo Real Estate had sufficient short and medium-term funding to make sure it could function while the international money markets remained in a deep freeze. | It was designed to make sure that Hypo Real Estate had sufficient short and medium-term funding to make sure it could function while the international money markets remained in a deep freeze. |
| But Hypo Real Estate said the banks had withdrawn support for the loan, putting the whole rescue package at risk. | But Hypo Real Estate said the banks had withdrawn support for the loan, putting the whole rescue package at risk. |
| On Saturday, leaders of the major European economies met in Paris for talks hosted by French President Nicolas Sarkozy. | On Saturday, leaders of the major European economies met in Paris for talks hosted by French President Nicolas Sarkozy. |
| Britain, Germany, Italy and France all agreed to work together to support financial institutions - but stopped short of agreeing US-style bank bail-out plan. | Britain, Germany, Italy and France all agreed to work together to support financial institutions - but stopped short of agreeing US-style bank bail-out plan. |
| They decided instead to seek a relaxation of the EU rules governing the amount of money individual states can borrow. | They decided instead to seek a relaxation of the EU rules governing the amount of money individual states can borrow. |
| The leaders also issued a joint call for a G8 summit "as soon as possible" to review the rules governing financial markets. | The leaders also issued a joint call for a G8 summit "as soon as possible" to review the rules governing financial markets. |
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| Are you worried about your savings? Will an unlimited guarantee allay your fears? Send your comments to the BBC using the form below: | Are you worried about your savings? Will an unlimited guarantee allay your fears? Send your comments to the BBC using the form below: |
| In most cases a selection of your comments will be published, displaying your name and location unless you state otherwise in the box below. | In most cases a selection of your comments will be published, displaying your name and location unless you state otherwise in the box below. |