BRUSSELS: European Union leaders concluded their two-day summit after discussions on the Lisbon Treaty, climate change financing and economic issues.

European Commission (EC) President Jose Manuel Barroso, Swedish Prime Minister Fredrik Reinfeldt, whose country is holding the EU Presidency, and French President Nicolas Sarkozy (L to R) talk at the European Union (EU) summit in Brussels, capital of Belgium, Oct. 30, 2009. Leaders of 27 EU member states held a two-day summit since Thursday to discuss about climate change, financing, EU institutional and economic issues.[Xinhua]

The summit removed one of the last hurdles facing the Lisbon Treaty reform after giving the Czech Republic an opt-out in relation to the Charter of Fundamental Rights.

It agreed to grant the Czechs the exemption in a manner that was acceptable to neighboring countries, EU presidency Sweden's Prime Minsiter Fredrik Reinfeldt told reporters after the first session of the two-day summit.

The concession was demanded by Czech President Vaclav Klaus as the price for abandoning his one-man campaign to sabotage the treaty, which will create the post of permanent EU president.

"We have removed the last political hurdle,"European Commission President Jose Barroso said.

The treaty, aimed at streamlining the bloc's institutions and increasing its global influence, is expected to go into force at the end of this year or the beginning of next year.

Klaus, an euro-sceptic, refused to sign the ratification documents of the treay until winning assurances that the new rulebook wouldn't open the possibility of property claims by ethnic Germans -- or their descendants -- who were expelled after World War II.

The summit also reached an agreement on climate financing, vowing to contribute to 50 billion euros (74 billion U.S. dollars) in annual aid to help developing countries adapt to climate change.

But EU nations would not be required to contribute to the fund before 2013, said Swedish Prime Minister Fredrik Reinfeldt, whose country is holding the current EU presidency.

"Action by the European Union alone will not be enough," the conclusion document said.

The summit agreed that the amount of public support for financing the fight against climate change would have to amount to 100 billion euros by 2020.

It agreed that "fast start financing" was made on a voluntary basis by member states.

The EU had been divided over climate financing between poorer and richer member states.

Economic stimulus measures should not be withdrawn though the "sharp decline in European economic activity is coming to a halt," they agreed, citing "the increase in unemployment levels".

They said supporting policies should not be withdrawn until the recovery was "fully secured".

The summit urged a "continued political commitment to active labor market policies" as "the unemployment situation can be expected to deteriorate further" in the EU.

As for financial supervision, the leaders called on the EU presidency and the European Parliament to initiate the process on two draft legislative proposals on the establishment of a European Systemic Risk Board for macro-prudential supervision.

The meeting urged the member states to reach an agreement by December 2009 on a complete package setting up a new supervisory structure in Europe.

It called as well for swift progress to be made on the strengthening of the regulatory framework for the prevention, management and resolution of financial crises and on the development of a comprehensive EU-wide framework for closer policy coordination on financial stability.