Merkel: Progress on financial transactions tax by May important

PARIS Wed Feb 19, 2014 9:22am EST

PARIS Feb 19 (Reuters) - German Chancellor Angela Merkel said on Wednesday that Germany and France were continuing efforts for a financial transaction tax in Europe and making progress on it in the next three months would be an important signal to the European Union's public.

Speaking at a news conference in Paris with French President Francois Hollande, Merkel said progress on the financial tax before the European parliamentary elections in late May "would be an important signal".

Germany and France are committed to agreeing a deal on the tax before the elections. The tax failed to gain widespread support when proposed during the euro zone debt crisis but later won the backing of 11 states, led by Germany and France.