European lawmakers must consider expanding the capacity of the European rescue fund during the European summit at the end of this week, where finance chiefs must at lease increase the firepower to 1 trillion euros in order to restore confidence and stability and to prevent the contagion from spreading further, according to Angel Gurria, the secretary-general of the Organization for Economic Cooperation and Developments (OECD).

A strong and credible firewall will support government in fighting the debt crisis and restore growth and competitiveness, according to the statement released the Paris-based entity.

Germany yesterday clarified that the nation is ready to accept increases in the rescue fund, where the German Chancellor after refusing any increase for so long agreed to combine the temporal European Financial Stability Facility (EFSF) with the permanent European Stability Mechanism (ESM), which is to be presented in July.