MW: Germany weighs new euro stability fund: report
By William L. Watts, MarketWatch
LONDON (MarketWatch) — A position paper drawn up by German officials calls for the creation of a new fund that would provide help to ailing euro-zone members under strict rules, a German newspaper reported Thursday.
The document outlines a European stability, growth and investment fund that would be independent and would have “unlimited refinancing capability,” the Sueddeutsche Zeitung reported, without citing sources. The paper was prepared ahead of a meeting of euro-zone finance ministers next month, the report said.
The document states that Germany has a “national interest in maintaining the euro with all members,” the report said, but emphasizes that the single currency must be oriented on German stability interests in recognition of Germany’s role as the region’s largest economy and an anchor of stability.
The euro (EURUSD 1.3095, +0.0003, +0.0229%) saw little reaction, changing hands at $1.3103 versus the dollar in recent action, down 0.1% from Wednesday.
