This week, German business, as well as their strongest lobbying groups have pushed for stronger financial responsibility within the European Unions. For months, Germany has been arguing the importance of a bailout fund and for every nation trading the Euro to be involved.
In January, Germany's finance minster agreed with Chancellor Merkel's plans to pursue a plan to establish a Bailout Fund for the European Union. Now, It seems those plans have materialized into a collective agreement including a provision asking nations to openly face sanctions if they violate the economic plan's budgetary rules.
Through a press release sent out on Friday, Wolfgang Schaeuble, Germany's finance minister, hoped the right signals would be sent to neighboring countries to show financial markets that Europe is resolved to defend its currency.
"The incentive for solid fiscal policy must be strengthened through debt breaks in national constitutions. If a country breaks the stability and growth pact, sanctions must come automatically," it read.
Another interesting side to this story is that Germany also advocates the end of financial help to countries in need. At this stage in development they said, the European Central Bank should stop buying their debt.
Nations undergoing conflicts or central bank problems, the article has said, opposed Germany, and the overall idea advocating reform.
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