Antonia van de Velde
November 21, 2011
The crisis in the euro zone has exposed the flaws of the 17-member currency union, and its leaders will need to take urgent action if they want the euro to survive, veteran investor Warren Buffett told CNBC on Monday.
“The system as presently designed has revealed a major flaw. And that flaw won’t be corrected just by words. Europe will either have to come closer together or there will have to be some other rearrangement because this system is not working,” Buffett said in an interview.
Asked whether the union would survive this crisis, Buffett said: “That’s in doubt now.”
Buffett, chairman and chief executive of conglomerate Berkshire Hathaway said he did not see many parallels between the crisis in the euro zone and concerns over debt in the United States, adding that the euro system has a major flaw.