Merkel, Sarkozy back 'voluntary' private-sector involvement in Greek rescue

Germany and France have come to an accord over the role of private bondholders in a second round of financial assistance to Greece, with Berlin appearing to back down somewhat over its insistence that the private sector bear losses.

Meeting in Berlin, German Chancellor Angela Merkel and French President Nicolas Sarkozy said that the private sector should be involved but only on a voluntary basis, a common position that aims to put an end to the public row between Berlin and the European...