Opinion

Paul Taylor

Germany’s Schaeuble back against euro zone firewall

Paul Taylor
Feb 23, 2012 15:15 UTC

BERLIN/PARIS (Reuters) – German Finance Minister Wolfgang Schaeuble is in for a torrid weekend in Mexico City.

Chancellor Angela Merkel is so concerned to get a second bailout for Greece approved by her parliamentary majority next Monday that she has hardened Berlin’s stance against any increase in the euro zone’s financial firewalls.

As a result, Schaeuble will face the combined forces of the International Monetary Fund, the United States, China, Japan and most of his European partners at a G20 finance ministers’ meeting demanding that Europe does more to fight its sovereign debt crisis before they will offer an extra cent.

European Union leaders had hoped that after getting its way on a new fiscal discipline treaty, Germany would relent and agree at a March 1 summit to combine the firepower of Europe’s existing temporary bailout fund and a planned permanent one.

That in turn could open the way for the IMF to increase its contingency fund for helping states hit by the crisis.

German back against euro zone firewall

Paul Taylor
Feb 23, 2012 15:03 UTC

BERLIN/PARIS (Reuters) – German Finance Minister Wolfgang Schaeuble is in for a torrid weekend in Mexico City.

Chancellor Angela Merkel is so concerned to get a second bailout for Greece approved by her parliamentary majority next Monday that she has hardened Berlin’s stance against any increase in the euro zone’s financial firewalls.

As a result, Schaeuble will face the combined forces of the International Monetary Fund, the United States, China, Japan and most of his European partners at a G20 finance ministers’ meeting demanding that Europe does more to fight its sovereign debt crisis before they will offer an extra cent.

Euro zone gropes for way out of state-bank dependency

Paul Taylor
Feb 20, 2012 06:52 UTC

PARIS (Reuters) – Like drunks at a bar door, the euro zone’s governments and banks are leaning unsteadily on each other for support.

The banks know they have to sober up, but governments are urging them to have one more for the road.

Europe’s policymakers may have managed to stop the entire building from swaying in the last few weeks, but they have not yet found a way to break the dangerous mutual dependency between overindebted states and overleveraged banks.

Analysis: Euro zone gropes for way out of state-bank dependency

Paul Taylor
Feb 20, 2012 06:51 UTC

PARIS (Reuters) – Like drunks at a bar door, the euro zone’s governments and banks are leaning unsteadily on each other for support.

The banks know they have to sober up, but governments are urging them to have one more for the road.

Europe’s policymakers may have managed to stop the entire building from swaying in the last few weeks, but they have not yet found a way to break the dangerous mutual dependency between over indebted states and overleveraged banks.

Europe left torn between outrage and anxiety on Greece

Paul Taylor
Feb 13, 2012 17:35 UTC

PARIS, Feb 13 (Reuters) – Europe’s left is torn
between outrage and anxiety over drastic cuts in living
standards and working conditions being imposed on Greeks by the
European Union and the International Monetary Fund.

Indignation at sweeping pay and pension reductions and
public sector job cuts dictated by official creditors in return
for a second bailout of the debt-ridden euro zone state is
strongest in south European countries that fear a similar rod.

Yet there is scant sympathy from centre-left politicians and
labour leaders in northern Europe, where voters are more worried
at the potential cost to themselves of repeated bailouts, nor in
former communist central Europe, where people are more inured to
hardship.

Merkozy fights to prevent Merkollande

Paul Taylor
Feb 6, 2012 11:50 UTC

PARIS (Reuters) – Things must be getting desperate if Angela Merkel is intervening in French politics to try to save Nicolas Sarkozy from defeat.

The normally cautious German chancellor is taking a big risk by planning campaign appearances in support of the French leader ahead of the April 22 first round of a presidential election, starting with a joint television interview on Monday.

If, as all opinion polls suggest, Socialist challenger Francois Hollande defeats the conservative Sarkozy in a May 6 run-off, Merkel will have to rebuild the Franco-German European leadership duo from scratch with a man she has snubbed.

Analysis: Merkozy fights to prevent Merkollande

Paul Taylor
Feb 6, 2012 06:55 UTC

PARIS (Reuters) – Things must be getting desperate if Angela Merkel is intervening in French politics to try to save Nicolas Sarkozy from defeat.

The normally cautious German chancellor is taking a big risk by planning campaign appearances in support of the French leader ahead of the April 22 first round of a presidential election, starting with a joint television interview on Monday.

If, as all opinion polls suggest, Socialist challenger Francois Hollande defeats the conservative Sarkozy in a May 6 run-off, Merkel will have to rebuild the Franco-German European leadership duo from scratch with a man she has snubbed.

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