German Politician Wants Smaller Currency Area

Even one of the most powerful Eurozone economies may be tiring of their obligations. One German political movement is now mounting a challenge to the status quo, hoping to tap into the 25 per cent strong, euro-sceptic vote during this September's general election.

Merkel Rules Out Return to Deutsche Mark
Chancellor Angela Merkel says there's no going back to the beloved deutsche mark. Photo: Spiegel Online International
SPIEGEL ONLINE INTERNATIONAL: German Chancellor Angela Merkel has snuffed out speculation about reintroducing the deutsche mark in Germany as a response to the current euro crisis. In a magazine interview, she renewed her support for the common currency and rejected the idea of splitting the euro zone in two.

Chancellor Angela Merkel has categorically stated that Germany will not abandon the euro and reintroduce the deutsche mark. Her comments are intended to quell speculation that Germany's love of the common currency is flagging in the wake of expensive bailouts of troubled euro-zone members Greece and Ireland.

In an interview to be published in Germany's weekly Stern magazine on Thursday, Merkel also rejected the idea of splitting the euro zone into north and south zones, reaffirming Germany's commitment to an economically united Europe.

"There can be no return to the deutsche mark," she said, adding that Germany would "continue to do everything necessary to guarantee a stable euro." She told the magazine that, while she took citizens' concerns very seriously, she was convinced that "we in Germany can handle everything." >>> jap - with wires | Wednesday, January 19, 2011