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Merkel won't swap euro bonds for stability rules: MPs
BERLIN |
BERLIN (Reuters) - German Chancellor Angela Merkel will not make a deal at the upcoming European Union summit to stop resisting joint issuance of euro zone bonds in exchange for progress on strengthening fiscal rules, German MPs quoted her as saying on Tuesday.
Members of parliament from Merkel's center-right coalition said she told them in a closed-door meeting Europe was "a long way from euro bonds" as it made no sense to sanction euro states breaking fiscal rules on the one hand and reward them with lower interest rates via the collectivization of debt on the other.
The chancellor also reiterated her opposition to using the European Central Bank to solve the euro zone's debt problems by injecting unlimited liquidity.
(Reporting by Thorsten Severin; Writing by Stephen Brown)
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