EU Commission Approves 200 Billion Euro Stimulus Plan

The European Commission has unveiled an economic recovery plan worth 200bn euros (£170bn) which it hopes will save millions of European jobs.

The idea is to stimulate spending and boost consumer confidence by injecting more purchasing power into region.

The proposal by EU Commission chief Jose Manuel Barroso was backed during a closed-door Commission meeting and amounts to 1.5 percent of the bloc's gross domestic product (GDP) substantially more than the 130 billion euro injection initially mooted.

The European Commission president said the bigger part of the package would be implemented in 2009, while some measures would continue into 2010.