UK PRESS: Germany’s trade surpluses built on holding down labour costs
may be unsustainable for the other countries in the eurozone, Frances
finance minister said in an unusually blunt warning to Berlin, the FT
reports. Christine Lagarde said Berlin should consider boosting domestic
demand to help deficit countries regain competitiveness and sort out
their public finances, the paper added. Her comments break a
long-standing taboo between the French and German governments about
macroeconomic imbalances in the eurozone, the paper noted.