Weber dubs EMF idea a ‘sideshow’

Germany’s proposal for a European Monetary Fund to bail out crisis-hit countries ran into opposition on the 9 March 2010 from the country’s central bank, which warned it could prove a damaging distraction and undermine eurozone rules.

Axel Weber, the Bundesbank’s President, described as 'not helpful' discussions about the 'institutionalisation of emergency help' when countries such as Greece should be focused on cutting public sector borrowing. 'Any other discussion is a sideshow that will distract from the necessary [fiscal] consolidation,' he said.

ESO: Background Information: Merkel warns of hurdles in EMF plan http://www.europeansources.info/record/merkel-warns-of-hurdles-in-emf-plan/

Germany: Deutsche Bundesbank http://www.bundesbank.de/index.en.php

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