Arab Today, arab today german govt opposition reach deal on fiscal pact
Last Updated : GMT 08:53:10
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German govt, opposition reach deal on fiscal pact

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Arab Today, arab today German govt, opposition reach deal on fiscal pact

Berlin - QNA

The main opposition parties have agreed to support Chancellor Angela Merkel's economic measures for stability in the eurozone. The deal aims to cut back public debt but also boost growth and employment. Following a meeting with Merkel's conservative coalition on Thursday, the opposition Social Democrats and Green party announced they would support plans paving the way for the European Stability Mechanism (ESM). They said they had reached an agreement to boost growth and create more jobs in the eurozone, as well as curb debt and implement tighter controls. "This is an important step away from focusing on saving alone," said SPD chairman Sigmar Gabriel. The parliamentary leader of Merkel's conservative CDU, Volker Kauder, said the agreement was "a good sign for Europe," though he reiterated Germany's stance that there would be no mutualization of European debt. To finance the measures to boost growth, Germany will push for the implementation of a European financial transaction tax - a demand the opposition had put forward as a condition for their support. The agreement will now enable the German parliament to ratify Europe's fiscal pact and bailout mechanism.

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