–Germany’s Bruederle: ECB Rate May Be Too High For EMU Periphery
LONDON – German Economy Minister Rainer Bruederle has said
that the ECB main rate is too low for Germany and may be too high for
several peripheral eurozone states.
“I think the ECB’s interest rate, for Germany, is too low. In parts
of Germany we have full employment, Baden-Wuerttemberg has 4%
unemployment, that’s full employment. For other countries it may be too
high,” he said.
Bruederle also took a stern tone on Greece, saying it needs to get
its house in order in order to fulfill its obligations under the EU’s
Growth and Stability Pact.
“It was the free decision of Greece to be part of the euro and if
you join the club you have to obey the rules, otherwise you stay
outside, go a different way,” he said.
Bruederle voiced his frustration with Greece’s flouting of the
Growth and Stability Pact and hinted that German aid for Greece was not
always going to be available.
“It can only work if we have common rules – if we don’t we have no
common currency, no common market and no European Union. If one part
only wants the money of others we give help for certain times, in times
they are unlimited, in times they’re not.”
–London newsroom: 4420 7862 7492; email: wwilkes@marketnews.com
[TOPICS: MGX$$$,MFX$$$,MFXBO$,M$$EC$,M$G$$$]
