Angela Merkel and the EU countries have forced the holders of Greek debt to accept 50% losses--called a haircut, in exchange for guaranteeing a bailout fund. There is no reason that the German and French taxpayes have to finance this fund. The European Central Bank still refuses to act like a bank and make loans to banks.
I doubt if the bailout fund will be sufficient to cover Greek bonds let alone Italy that owes $2.7 trillion or 120 percent of its GDP. If the central banks does not step up there will be chaos.