BERLIN/ATHENS (Reuters) – Euro zone paymaster Germany, relieved at a narrow election victory for Greece’s pro-bailout parties, signaled on Monday it may be willing to grant Athens more time to meet its fiscal targets to avert a catastrophic euro exit.
But financial markets’ relief that the 17-nation European currency area had avoided plunging deeper into crisis was mitigated by concern about unresolved problems in Greece, the lack of a comprehensive plan for the euro zone as a whole and weakness in the world economy.
BERLIN, June 15 (Reuters) – Konrad Adenauer must be turning
in his grave.
The founder of Germany’s ruling Christian Democrats (CDU)
did not live to see the ultimate expression of his vision of
European unity – the single currency – come into being.
Nor did postwar West Germany’s first chancellor live to see
his own grandson abandon the party to join a small but growing
band of German Eurosceptics.
BERLIN (Reuters) – Angela Merkel’s government was forced to defend an EU rescue for Spain’s indebted banks on Monday, with many Germans convinced their generosity is being abused and skeptics warning that promising aid without tough conditions sets a risky precedent.
Aides to the German chancellor justified the huge bailout on the grounds that the Spanish economy was not in such dire shape that it required the kind of terms imposed on Greece, and the aid would not be paid directly to Spanish banks but to the government.
BERLIN, June 7 (Reuters) – Two starkly differing views on
pan-Europeanism were on display on Thursday as Germany’s
Chancellor Angela Merkel and Britain’s Prime Minister David
Cameron sparred over his party’s exit from a centre-right bloc
in the European parliament.
The Tories’ exit from the European People’s Party (EPP) in
2009 after Cameron became party leader remains a sore point
between London and Berlin, who otherwise share plenty of common
ground on issues like the need for fiscal discipline in Europe,
despite Britain not being a member of the euro zone.
BERLIN, June 6 (Reuters) – German Chancellor Angela Merkel’s
cabinet approved a divisive bill on childcare payments on
Wednesday, resolving a damaging row over the legislation among
her coalition partners but setting up a confrontation with
opponents in parliament.
The bill – which would give parents an allowance to keep
their toddlers at home rather than sending them to nursery – has
split a nation where the role of working mothers is still hotly
BERLIN, May 24 (Reuters) – British Deputy Prime Minister
Nick Clegg said on Thursday that data showing Britain’s economy
shrank more than expected in the first quarter underlined the
need to accelerate efforts to free up investment and credit.
Britain’s economy, in its second recession since the 2007-08
financial crisis, contracted by 0.3 percent between January and
March, Thursday’s data showed, following a slump in construction
BERLIN (Reuters) – New French President Francois Hollande and German Chancellor Angela Merkel acknowledged differences on Tuesday over how to boost growth in recession-plagued Europe, but pledged to forge a joint approach in time for an EU summit next month.
The Socialist Hollande jetted to Berlin only hours after being sworn in to meet Merkel, a conservative, for the first time, arriving over an hour late after his plane was hit by lightning and he was forced to return briefly to Paris.
BERLIN, May 15 (Reuters) – France’s new president, Francois
Hollande, looked understandably nervous on Tuesday at his first
meeting with Angela Merkel, as the world looked for signs that
Europe’s new power duo can overcome political differences to
resolve the euro crisis.
The German chancellor tactfully guided her guest through the
military honours in Berlin and whisked him off for talks that
had been ominously delayed when lightning struck his plane.
BERLIN (Reuters) – New French President Francois Hollande and German Chancellor Angela Merkel acknowledged differences on Tuesday over how to boost growth in recession-plagued Europe, but pledged to work together on a joint approach in time for a summit next month.
Hollande jetted to Berlin hours after his inauguration to meet Merkel for the first time, but arrived over an hour late after his plane was hit by lightning and he was forced to return briefly to Paris.
ATHENS/BERLIN (Reuters) – Attempts to form a government in Greece collapsed on Tuesday, jolting financial markets at the prospect that leftists opposed to the terms of an EU bailout could sweep to victory in a June election and tip the euro zone deeper into crisis.
The turmoil in Athens sent shock waves around other troubled members of the 17-nation European single currency area. The euro slipped below $1.28, world stocks slid and Spanish and Italian bond yields rose above the danger level of 6 percent as investors scurried for shelter in safe haven German Bunds.