December 9, 2010
Regarding ‘IMF lambasts inconclusive euro talks‘:
What Germany has been saying for several weeks now is simply :
1. That the ever increasing size of emergency bailouts of eurozone countries cannot be pursued under present Treaty rules that actually FORBID such operations.
2. That bailing out as such will not work unless new rules of economic governance (including a European Monetary Fund issuing eurobonds) are adopted which also necessitate a Treaty revision.
A common Franco-German initiative (possibly joined by the Benelux countries) to engage the eurozone countries in such a Treaty revision would perhaps not only reassure the markets of the Eurogroup’s determination to strengthen the system, but also at last put the euro zone on the right track.
Ideally a timeframe for this revision should be announced : 2014 (when a new European Commission and a new European Parliament will be in charge) would be a suitable date.
Jean-Guy GiraudAuthor : Letters to the EurActiv editor