02/12/2011 GMT with George Alagiah

Fiscal union or bust - Germany and France edged towards a far-reaching

political deal to save the euro. Chancellor Merkel and President

Sarkozy talk of a new European treaty to impose strict control

over national budgets. TRANSLATION: We need fiscal unity with strong

powers of intervention, at least Welcome to GMT. Also in the

programme, standing together for Burmese democracy. Aung San Suu Kyi

says she is cautious but hopeful after talks with Hillary Clinton.

Preparing for the final exit - the Americans hand over Camp Victory,

their biggest military base inside Iraq.

It is 12:30pm in London. Chancellor Angela Merkel today told the German

parliament that only strict new rules enforcing fiscal discipline

could rebuild trust in the euro- zone. There is no quick fix, she

said, it is a process that will take years. Mrs Merkel and

President Sarkozy of France are attempting to come up with a joint

plan for significant changes to the EU treaty which governs the euro-

zone. But will talk of fiscal union be enough to calm the fears of a

break-up of the common currency? From Europe's biggest economic

power, the latest message that it really is time to think big on the

euro crisis, as another crisis summit looms. The key political

figure in all this is the return must start work on tighter fiscal

union, but also warned that the crisis will be a long haul.

TRANSLATION: There are no easy solutions. Especially not as some

people insist on staying ahead of every summit, the apparent one last

push. That is neither my kind of language, nor my way of thinking.

The resolution of the euro crisis is a process, and this process will

take years. In France, President Sarkozy delivered his own, sombre

judgment that Europe is not measured up in this crisis. He said

the French and Germans had agreed on the need for a revised treaty to

tackle the failures and weaknesses of the euro. TRANSLATION: France is

fighting for a new treaty, more disciplined, more solidarity, a

true economic government. Britain's David Cameron, in Paris to meet his

old ally from the Libby conflict. The two men are not as close on the

euro crisis. Mr Cameron will be anxious to hear what is on the

table in terms of possible treaty changes, and how much instep France

and Germany really are now. His calls for action may have irritated

his French host on occasion, at the same time, he is worried Britain

could become more marginalised. The longer the euro storm goes on, the

more both the French and British economies could be blown off course,

as could President Sarkozy's re- election hopes. On Monday, the big

two will have their latest get together to thrash out their joint

ideas. Mrs Merkel may have talked in terms of years to sort out the

euro, but the focus now is on the crisis calendar that will lead to

Brussels again at the end of next week, and the latest crunch EU

summit. So, France and Germany doing their

best to calm the storm around the euro, is it working? Let's go to

Brussels. What you're hearing from Angela Merkel and Nicolas Sarkozy,

is it convincing view that there is a credible plan to restore faith in

the EU wrote? I think what I hear it is good news, but it is not

convincing yet. To be convincing, we need detail on how they want to

do it, whether they really agree to give up national sovereignty and

put it to a European level. That is something we have to hear next week.

Giving up so run deep -- sovereignty is the key. Do you

think the Germans want Sarkozy to give up more? I think the Germans

are now determined to give up more, they want to push this thing ahead,

push towards fiscal union, a stability Union, as they like to

call it. This will include more giving up of sovereignty by the

French. Would it go so far as some have suggested, as to see the

creation of a year -- euro-zone finance ministry, essentially

running national economies across the euro-zone, from Brussels or

Frankfurt? I think this is possibly the ultimate scenario. I don't

think we was in national parliaments being closed down as of

next year, but we do need a central organisation, a European

organisation, which really has a say. This will prevent the horse

trading we have had over the last 10 years in the country breaches

the rules. The problem Mrs Merkel pointed to today, is it is going to

take years to sort out such a fundamental shift inside the

European Union. For you as a banker, is it important that the other

discussion about immediate short- term action still continues,

considering the role of the European Central Bank, and the

possibility of Euro bonds? Obviously, the fiscal integration

is one part of the resolution of the problem. The other one, the

short-term fix, will be giving the European Central Bank a bigger role.

Politicians cannot give the EC be a bigger role, the ECB will have to

take this role and decide it on its own. If politicians decide on more

fiscal union next week, I think the ECB will be willing to do more, and

then we will have a good combination between a short-term

fix and a long-term solution. markets look sanguine today, they

are pretty much around the world. But that could change pretty

quickly. Is this coming summit of EU leaders in a few days, is that

make-or-break? It is not make-or- break, but it is very important. We

have had so many make-or-break summit over the last month, I don't

think that on 10th December, everything will be over the Sun

will be shining. But it will be very important on the red was a

better euro-zone. Thank you for joining us.

The Burmese pro-democracy leader, Aung San Suu Kyi, says she is

confident there will be no turning back on the road to democracy in

Burma. But she warned that the country had a long way to travel.

She was speaking after talks at her home with the US secretary of state,

Hillary Clinton. It was the second meeting between the two women

during Mrs Clinton's historic visit to Burma. Mrs Clinton also met the

Burmese president, Thein Sein, on Thursday.

Our correspondent has been travelling with Mrs Clinton. This

is her assessment of the trip. Never before has this house

welcomed such a high-profile foreign visitors. The American

secretary of state, Hillary Clinton, arrived in the morning in her black

limousine, for a second meeting with Burma's noble react. Aung San

Suu Kyi's home is where she was held in detention for almost two

decades, but the fact that she can welcome Hillary Clinton here is a

sign that perhaps things are changing in Burma. As the US tests

the waters and tries to re-engage with this isolated country, Aung

San Suu Kyi's influence over this process cannot be overestimated. A

few weeks ago, President Obama called Aung San Suu Kyi, they spoke

for over 45 minutes. She told him she bullied the country's president,

Thein Sein, was serious about reform -- she believed. Only then

did President Obama announced he was sending his top diplomat to the

country. Aung San Suu Kyi and her political party are now re-entering

the political process. She herself said she would stand for Parliament

in the upcoming by-elections. These have been extraordinary days for

Burma, but these are also early days. In the coming months,

Washington, Aung San Suu Kyi, and the Burmese people will be watching

closely to see if this country's leadership does indeed deliver on

its promise for change. The government of Taiwan says it is

planning to issue a passport to the exiled former prime minister,

Thaksin Shinawatra. Mr Thaksin lives in Dubai after being

convicted of corruption and stripped of his Thai passport under

the last government. The current government, led by his sister, says

the past but will be issued as a new year's gift. Herman Cain, one

of the Republican presidential candidate in the US, has admitted

giving money to a woman who said they had a 13 year affair. He said

he repeatedly helped the woman, Ginger White, with build and

expenses, but denies having sex with her.

The UN Human Rights Council is holding an emergency session on

Syria to discuss evidence that President Assad's security forces

have committed crimes against humanity. The meeting in Geneva

comes in the wake of a UN report accusing Syrian forces of operating

a shoot-to-kill policy against unarmed protesters.

The US military has handed over control of its former headquarters

in Iraq to the Baghdad authorities as part of the plan to pull out all

American soldiers by the end of the year. Camp Victory were set up on

the outskirts of the capital in a former country club built by Saddam

Hussein. At its peak, it was home to nearly 50,000 US service

personnel. Let's cross live to Baghdad now. It

is a highly symbolic moment, isn't it? Very symbolic, very iconic, as

you sit in your introduction. This used to be a huge complex, it was

more of a city than a complex. This is where US officials, generals,

used to draw strategies for Iraq, oversee the execution of these

strategies, and now it is under full control of the Iraqi

authorities. What are the Iraqis going to do with it? I just spoke

to be defence spokesperson, and he said that this place is listed

under the properties of the government of Iraq now, they have

no plans to use it for military purposes, but some parts of it

might be turned to museums, or maybe they might make use of the

parks inside the complex. Iraqis have made it plain they do

not want to see any residual US forces left behind in Iraq, so how

close are we now to the last set of American Boots' leading Iraqi soil?

Theoretically, the last soldier must leave Iraq by the end of this

month, the end of this year. But it seems that the pace of this

withdrawal is getting quicker, and it might be even before the end of

this year. Thank you are joining us. While many countries are suffering

from an economic downturn, some are still enjoying rapid growth. Among

them, Argentina, where the economy grew by more than 9% last year. An

extraordinary number, when you remember that a decade ago, the

Argentine peso collapsed, there were riots in the street, and the

country defaulted on its foreign debt. Even now, many people feel

the effects of that crisis. Argentina is growing at full force.

The country is enjoying one of the biggest booms in its history, and

is one of the fastest-growing economies on the planet. On BT

streets like this one hearing Buenos Aires, you can sense a

vibrant country. One that has left behind the shadows of a dark past.

A decade ago, Argentina had one of the worst economic knockdowns in

history. On 3rd December 2001, the Argentine government restricted the

amount of money people can withdraw from banks, prompting widespread

unrest and the downfall of the government. In one week, the

country had five presidents, and defaulted on its external debt

repayments. Many Argentines suffered huge losses. Before the

crisis, this woman had savings to buy an apartment, but months later,

after the crisis, the money had lost so much value that it was only

enough for a par. It was very sad, because it was our hope to have a

new house, a new quality of life for our family, our children. And

in just one day, because of political decisions, we had lost

that opportunity. Argentina's economy had been growing steadily

for eight years, boosted by the exports of soy beans. But the

recovery was also built at a number of steps taken by the authorities.

What was done was to establish some pillars, one of the pillars was to

reduce, as much as possible, the fiscal imbalance and converted into

a surplus if possible. The second pillar was established, also a

competitive exchange rate. But the consequences of the crust is still

affect Argentinians today. -- of the crisis. A for our society, it

was something completely new, so I never put my savings in the bank

Argentina seems to have recovered her groove and this could prove

hopeful for the troubled European countries today.

Still to come: The aye rate calls keep coming. Jeremy Clarkson's

comments about striking British workers prompt thousands of

complaints to the BBC. Right now, it's time for the

business news. We've been talking about the eurozone today, but of

course, very important jobs figures out of the US today.

Yes, we're expecting 125,000 new jobs to have been added to the jobs

labour market in November. These are hugely important figures.

Everyone watches what's going on in the US with keen interest. We have

had some positive economic data out of the US in recent weeks. We've

had strong consumer confidence figures and improved manufacturing

picture, but it's worth remembering that the eurozone crisis has been a

problem for the US economy. The markets there are very worried.

Let's list ton what this analyst had to say. It's been known for a

flexible labour market that bounces back quickly after recession, we're

actually seeing the opposite in this recession al recovery. The

labour market is improving, but it's improving extremely slowly and

it's patchy. It's worth remembering this is really important, the US

economy is a huge issue for re- election for President Obama as

well. Now, I am going to drag you back to Europe, because leaving

aside what Sarkozy's up to with Cameron and Angela Merkel,

manufacturers are worried about the state of the eurozone, particularly

the car makers. They're meeting, they've been meeting in Brussels

today. All the car makers are coming together in a big group. We

have Ford Europe, the boss of Fiat, they are together to complain about

eurozone leaders about how they're handling the crisis. Their argument

is that they're eroding consumer confidence by not solving the

crisis. When that's eroded what do people do? They buy less, in

particular they spend less on cars. They're worried the prospects for

the car industry look bleak. Let's see what this analyst had to say.

We are looking at a situation where we have to slash production. It

will have negative effect on employment. Also on growth,

innovation and on the industry as a whole. We are unfortunately afraid

that we are moving back where we were in 2008/09. The boss of Fiat

has come out and said that 2012 could be a year of stagnation for

the car industry and he also said he warned that if things don't

change soon, he could take Fiat out change soon, he could take Fiat out

of Italy because he wants to save money. Now the markets: the markets

are up, why? Because of the important news information out of

the US. Also the European Central Bank is talking about lending money,

so markets are more positive. Plenty of green despite the crisis.

We want to hear what you think. Get in touch with us. Go to our website,

bbc.co.uk/GMT. More on the European bbc.co.uk/GMT. More on the European

debt crisis, and plenty more as well.

This is GMT from BBC World News. I'm Stephen Sackur. The headlines:

Germany's Chancellor, Angela Merkel, calls for greater fiscal unity in

the eurozone, but warns finding a solution to the crisis could take

years. Burma's pro-democracy leader, Aung

San Suu Kyi, says she's confident of reforms in her country, after

talks with Hillary Clinton. A rebel Libyan soldier, shot during

the battle for Tripoli, has been talking about his treatment here in

the UK. He had his lower right leg amputated after doctors in London

decided that it could not be saved. He's one of 50 Libyans who the

British Government said they would treat at the request and cost of

This man didn't come to Britain expecting to luz a foot, but he's

now coming to terms with his new pros theet is. He was shot three

times the day Tripoli fell to anti- Gaddafi forces. He fought alongside

friends and strangers, armed with a hunting rifle. One bullet exploded

in his lower right leg, shattering his bones.

TRANSLATION: I was shot in the battle with the Gaddafi brigades.

In the first five minutes, I felt nothing. After that, I fell down.

His surgeon says amputation was the best option. He'd had a severe

injury to the bones of the leg. But he'd also, because of the blast

injury, had lost a lot of soft tissues, down to and including the

ankle joint, so that was open. It was clear he had deep infection.

You could see the state of the wound and smell the bacteria.

had his lower right leg removed the very day Colonel Gaddafi was

captured and killed. His physiotherapist says he's making

good progress. I think since the surgery and since having the limb

fitted, he can probably see now that he's making progress and that

he's actually going to return to a fully independent life and be able

to do all the things he was doing before. I think generally, he's --

his mood is improving and he's working really well in the gym and

he's making great progress. patient himself remains

philosophical. TRANSLATION: When I left home and I

went to fight, I was expecting even to die, so although -- all the

options were there. This is fate or destiny from God. I believe in that.

I accepted this. The international criminal courts

chief prosecuter has requested ab arrest warrant for Sudan's Defence

Minister. He's wanted for alleged crimes against humanity and war

crimes committed in Darfur in 2003 and 2004. The ICC already has

issued an arrest warrant for Sudan's President over allegations

of genocide. Now, the BBC has received over

21,500 complaints over TV presenter, Jeremy Clarkson. Can you see him

behind me, fine figure of a fell ya. His off-hand comments about

striking workers in Britain. The Top Gear presenter has apologised

for any offence caused and said his comments were never meant to be

taken seriously. Here's what he said. Frankly, I'd have them all

shot. I would take them outside and execute them in front of their

families. I mean, how dare they go on strike, when they've got these

gilt edged pensions that are going to be guaranteed, while the rest of

us have to work for a living. incident doesn't appear to have

been laid to rest with that sort of apology and words issued by Jeremy

Clarkson afterwards, calls continue to come into the BBC. Let's hear

from James Delingpole, a columnist for the Spectator magazine. This is

dividing Britain right now. Where do you line up on the debate, for

or against his right to say what he said? I'm for free speech and I'm

for Jeremy Clarkson. Let's examine what happened here. Jeremy Clarkson

was invited on the BBC to be Jeremy Clarkson. Jeremy Clarkson behaved

like Jeremy Clarkson. I think your viewers all around the world will

have seen shows like Top Gear. They know what he's like. He said some

Clarkson-ish things. Apparently this had been agreed beforehand

with the show's producers - Hang on, I'm going to stop you right now.

What is this idea that Jeremy Clarkson has every right to be as

offensive as possible. Are you saying there's nothing he could say

that would be unacceptable? I think we need to learn to be grown ups

and be treated like grown ups. I think context is all. If you looked

at Jeremy Clarkson's words in bold print, you might think, "That's a

bit dodgy." When you hear him delivering them in his Jock lar

style and you heard the laughter in the studio audience there. They

knew he was Clarkson being Clarkson. That perfectly acceptable. What

about the argument that the biggest crime of all that he was

staggeringly unfunny. Humour is a matter of taste. What you're saying,

he should be shot for that? It's interesting you come back to the

phrase "shot for that". Is talking about executions and people being

shot in public, is that in any way, ever funny? I think it would depend

probably on what kind of regime you lived under. There are parts of the

world where people are shot and that would be very worrying. It

doesn't generally happen in Britain. We have a culture of tolerance. And

tolerance, which extends or traditionally has done to freedom

of speech. We treat our perfect like -- people like gron ups. They

can use context to decide whether somebody is fomenting hate. There's

no question, he was being jocular. What does it say about Britain,

many around the world will know Jeremy Clarkson as one of the

leading figures of entertainment in Britain. Many see him as a boarish

figure. What does it say about Britain that he is so popular.

also see him as rather refreshing and outspoken in a culture

dominated by political correctness, which unfortunately the tone is set

for that by the BBC itself. So you do see, what you're saying and

perhaps what he says as a fight against PC behaviour, do you?

Absolutely. I think that Jeremy Clarkson, behind the jocularity of

his remarks, was making a serious point about the public sector.

Those public sector strikes he was talking about, were a massive flop.

They were a flop tore two reasons: First of all, they weren't nearly

as widespread that the militants of the left had hoped they'd be. And

they focused a lot of people's anger, people in the private sector,

who have been really suffering during this recession, are aghast

to see how the public sector is being feather bedded by ring-fenced

pensions... James, you've expressed a series of views that are, it's

fair to say, right-wing views in this country. Is that the way it

lines up, if you're pro-Clarkson you tend to be right-wing and

conservative? It doesn't have to be about left or right. There are lots

of people working in shops, on factory floors in the private

sector who feel, who may be traditional Labour voters. They

probably feel just as strongly about this as people like me do. It

is not just that the public sector is better paid and has better

pensions than the private sector. They are not taking their share of

the misery, which we are all suffering in the recession.

suspect many people will have views on what you just said, thank you

for joining us. Before we go, let's remind you of the main story:

Chancellor, Angela Merkel, today told the German Parliament that