May 20, 2013
Merkel rejects 'miracle solutions' for Europe, warns of 'limited German resources'
Merkel, addressing parliament in Berlin, rejected "miracle solutions" such as issuing joint euro bonds or creating a Europe-wide deposit guarantee scheme. Such proposals were "counterproductive" and would violate the German constitution, she said.
Instead, she called for gradual steps towards the "Herculean task" of building a European political union."It is our task today to make up for what was not done (when the euro was created in 1999) and to end the vicious circle of ever new debt, of not sticking to the rules," Merkel said.
She warned against overstraining the resources of Europe's biggest economy, saying: "Germany is putting this strength and this power to use for the wellbeing of people, not just in Germany but also to help European unity and the global economy. But we also know, Germany's strength is not infinite."
Merkel acknowledged that the euro zone crisis, and Germany's role, would be at the centre of attention at next week's summit of the G20 major world economies in Los Cabos, Mexico. The leaders gather on Monday, a day after the Greek election.