US politicians agree bailout plan

US politicians have agreed on a bill for a US$700b deal to rescue America\'s financial system and end the credit crunch.



The initiative, backed by both Republican and Democratic leaders, allows the Treasury to spend the money buying bad debts from ailing banks in America.



President George W Bush has announced his support of the bill and both Houses of Congress are expected to vote on it in the coming days.



Stock markets in Asia rose following the announcement of the US$700b deal.



It followed days of high-level wrangling between Republicans and Democrats in Congress over the content of the bill.



Both parties had vigorous objections to a proposal submitted last week by Treasury Secretary Henry Paulson that would have given him sweeping powers over how the money is spent.