GERMANY’S MERKEL CALLS FOR TOUGHER FINANCE REGULATION
Angela Merkel: “We need to have cooperation… not saying, that's not my problem, I don't care about it”
German Chancellor Angela Merkel has stepped up calls for tougher regulation of banks and financial markets.
She said governments of leading nations must act together and show a “signal of strength” by tightening financial rules.
Mrs Merkel's comments come a day after she warned the euro was “in danger” without strong action.
Germany has also angered other EU nations by acting alone in banning a type of short-selling.
That action came as Mrs Merkel tried to secure parliamentary support for Germany's contribution to a European bail-out fund – a measure which has proved unpopular with taxpayers unwilling to fund the massive black holes in the finances of countries such as Greece.
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Chancellor Merkel needs to make this a crisis about 'Who runs Europe – governments or the markets?'
BBC Economics editor
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BBC economics editor Stephanie Flanders said the chancellor' s actions were an example of political expediency.
“It's about getting the special vehicle for supporting Eurozone governments through the German parliament,” she said.
At an international conference in Berlin, ahead of next month's G20 summit in Canada, Mrs Merkel set out key demands including:
Stricter regulation of international markets, which she said must be the “benchmark” within Europe
Levying a tax on financial institutions
EU governments to shows greater budget discipline. Nations who break rules on debt and deficit to face strict penalties including cuts in European funds and the withdrawal of voting rights
A co-ordinated approach to removing stimulus measures put in place to support economies.
She also called on all G20 countries to act together – even if they had not suffered problems in their own economy.