Second eurozone summit called as rifts persist

2011-10-20T18:30:35Z

Rifts between European Union nations over how to solve the eurozone debt crisis threatening the world economy on Thursday forced the 17-nation eurozone to call a fresh summit next week.

After vowing decisive action to G20 partners to resolve Europe's crisis, wrangling between Paris,

Analysis: Merkel vulnerable as euro and Libya backlash builds

2011-08-28T07:30:22Z

BERLIN (Reuters) - Germany's Angela Merkel faces the biggest challenge to her leadership since coming to power in 2005, with traditionally loyal conservative allies openly criticizing her approach to the

Obama and Merkel vow action on global economic woes

2011-08-27T11:30:14Z

WASHINGTON (Reuters) - U.S. President Barack Obama and German Chancellor Angela Merkel discussed the eurozone crisis and financial-market turbulence on Saturday and vowed action to bolster the glob...

Analysis: Slowdown in core a new threat for euro zone

2011-08-21T23:30:23Z

BERLIN (Reuters) - It's not hard to come up with reasons for the euro zone's exasperating inability to get a grip on its debt crisis.

There's the German government's reluctance to take the bold steps that seem necessary to bring about a change in market sentiment tow...

Osborne defends austerity policies amid debt storm

2011-08-11T14:30:54Z

Chancellor of the Exchequer George Osborne on Thursday defended his government's austerity policies, but admitted that recovery would be longer than hoped amid global financial market turmoil over debt.

Osborne, addressing lawmakers after parliament was recalled early to debate the recent rioting, said that the deficit-slashing measures had made Britain

Berlin, Paris stress commitment to European reforms

2011-08-07T12:00:51Z

BERLIN/PARIS, Aug 7 (Reuters) - Germany and France on Sunday reiterated their commitment to implementing the decisions of last month's emergency EU summit, in a...

Euro will survive debt crisis, Merkel vows

2010-11-29T14:41:35Z

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Double Dip Recession or Japan Style Stagnation?

2010-09-10T12:19:00Z

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Soros Attacks Germany’s Hair-Shirt Politics

2010-11-02T12:05:53Z

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Merkel defends savings plan after Obama letter

2010-06-21T13:16:07Z

German Chancellor Angela Merkel said Monday her planned austerity measures would not harm growth, after US President Barack Obama warned scaling back spending too fast could harm the global economy.

"It is not about a radical savings programme," she said, referring to a plan that foresees 86 billion euros (107 billion dollars) in spending cuts between next year and 2014...

EU and U.K.: Raise Taxes and Cut Stimulus

2010-11-02T12:05:23Z

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Differences poke through at Cameron, Merkel talks

2010-05-21T12:16:24Z

New British leader David Cameron and German Chancellor Angela Merkel sought to play down sharp differences on how to shore up European financial stability Friday, in their first official talks.

The Conservative premier said he backed a "strong and stable" eurozone, although BRUSSELS (Reuters) - The euro hit a four-year low on Monday on fears that austerity measures would stifle recovery, as European finance ministers prepared to discuss tighter regulation a week after launching a $1 trillion rescue plan.

German Chancellor Ang...

Sovereign Default - Who Is at Fault?

2010-10-27T06:32:35Z

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Europe targets credit default swaps traders

2010-10-13T15:00:54Z

Europe turned its sights on Tuesday on the controversial trade in insurance against sovereign loan defaults, the latest consequence to arise from market panic over spiralling Greek debts.

European Commission chief Jose Manuel Barroso told the EU<...

No German rescue plan for debt-ridden Greece

2010-02-28T13:15:43Z

Chancellor Angela Merkel Sunday dismissed talk of a German rescue plan for Greece's ailing economy, as Athens braced for an EU audit that could usher in new austerity cuts to tackle its massive debt crisis.

Greek bond prices rallied this week on a report that

Obama talks debt crisis with 2 Europe leaders

2010-02-26T14:15:57Z

Obama, Brown and Merkel review debt crisis in Greece as part of broader call on world events

The White House says President Barack Obama has spoken with British Prime Minister Gordon Brown and Ger...

Rough ride still ahead for economy: Merkel

2010-04-16T08:01:12Z

German Chancellor Angela Merkel warned that the country's worst post-war recession would drag into 2010, in a New Year's television address to be broadcast Thursday.

"I tell you very openly: We cannot expect the economic downturn to be over quickly," she said according to a manuscript released by her office.

"Some things will initially be more difficult next year before they can improve."

She said Berlin Wall, Chancellor Angela Merkel pulled no punches Tuesday as she outlined the hefty challenges facing Germany.

In her first major policy speech since being sworn in for a second four-year term last month, Merkel, 55, said that despite ten...

New German coalition gets set for government

2010-04-16T09:40:18Z

Germany's newly elected coalition got set for government on Saturday after three weeks of tough negotiations on a programme to guide the country out of its worst recession since World War II.

Chancellor Angela Merkel won a second term in elections on September 27, managing also to ditch her previous coalition partners, the centre-left Social Democrats, in favour of the pro-busine...

Rich Germans start campaign for higher taxes

2010-04-16T09:42:25Z

Some rich Germans have launched a petition to call for the resumption of a wealth tax to help the country bounce back from an economic crisis, because, as one said, he had "a lot of money I do not need."

The text, posted on the Internet at www.appell-vermoegensabgabe.de, has been signed by more than 40 people who want to convince the government of newly re-elected Chancellor Angela Merkel to raise their taxes.

For reti...

Germany more bullish on economic outlook

2010-04-16T09:58:19Z

Germany is poised to recover faster than originally thought from a crippling recession, a government spokesman said on Tuesday, revising up a forecast for output this year in Europe's top economy.

The economy will slump by four to five percent in 2009, compared to a previous prediction of six percent, the spokesman said.

He referred to a recent video message by

Victorious Merkel prepares new coalition

2010-04-16T10:06:26Z

Angela Merkel set to work Monday on a new centre-right coalition after clinching a second term, but warned Germans of a hard road ahead to revive the sickly economy and rescue jobs.

Merkel secured a new four-year mandate Sunday with election results allowing her to dump an awkward "grand coalition" with the Social Democrats (SPD) for an alliance with the pro-business Free Democrats (FDP).

"We know that we want to use t...

G-20 leaders focus on global recovery, banker pay

2010-06-12T10:49:17Z

World leaders focus on limiting bankers' pay, looking for ways to avoid new economic meltdown

Turning from outright fear to cautious optimism, world leaders descended on the comeback city of Pittsburgh Thursday to debate how to nurture a recovering but still-wobbly global economy. The leaders appeared to be nearing agreement on one of the more contentious issues, restricting bankers' compensation.

Nerves ar...

Europe Is Being Held Together With Duct Tape

2010-10-06T01:10:53Z

Among its many other sins, the greenback is a press hog. The world?s reserve currency, loved and loathed as it is, simply gets most of the ink these days.

In that light many a U.S.-based commentator, not least your cynical Taipan Daily scribes, have repeatedly waxed eloquent on the long-run death of the dollar.

But in our zeal we sometimes forget that, in order for the dollar to die, it has to die relative to other fiat currency offerings... and some of those o...

Recession hits German labour market

2010-04-16T12:37:57Z

Government figures out on Thursday showed Germany's worst postwar recession putting more and more people out of work in Europe's biggest economy, as the clock ticks down to September elections.

Adding to Chancellor Angela Merkel's woes, labour office numbers revealed that the usual springtime fillip to the jobs market had failed to mate...

German cuts growth forecast, predicts 6% slump

2010-04-16T12:51:28Z

Germany slashed its growth forecast Wednesday, predicting one of the worst recessions in the developed world with a crunching six-percent slump this year, but raised hopes of a recovery in 2010.

In its new projections, the government of Europe's biggest economy said that growth was set to creep back into the black next year, with output likely to rise by 0.5 percent.

German Chancellor Angela Merkel held a crunch economic summit Wednesday with businesses and unions amid a cascade of dire projections for output in Europe's largest economy.

Merkel met 40 top business leaders, trade unionists and experts to thrash out ways to haul Germany out of recession but the summit was overshadowed by a slip by her...

German adviser warns of stagnation if no bank revamp

2010-10-21T09:57:15Z

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Sarkozy insists there is 'no agreement yet'

2010-10-21T10:36:25Z

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What Mr Brown can really achieve

2010-10-21T10:36:22Z

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France, Germany to push for regulation at G20

2010-04-16T16:00:11Z

France and Germany insisted on Tuesday that an upcoming crisis summit of the Group of 20 rich and emerging nations must result in stricter financial market regulation.

The renewed stress on regulation in a joint letter signed by French President Nicholas Sarkozy and German Chance...

G-20 officials wrestle with policy divisions

2010-04-16T16:03:59Z

G-20 finance officials wrestle with differences on how to confront world economic slump

International finance officials worked Saturday to find common ground amid deep divisions on how to tackle the global downturn, with key players trying to inject optimism into talks that many fear could result in little real progress.

Bri...

Schwarzenegger tells techies to go 'green'

2010-04-16T16:14:45Z

California Governor Arnold Schwarzenegger kicked off the world's biggest high-tech fair Tuesday, telling executives to seize the economic crisis as a moment to shape up and go "green".

Schwarzenegger, this year's guest of honour at the sprawling CeBIT fair in this northern German city, toured stands with Chancellor Angela Merkel as the six-day event op...

IT must invest its way out of crisis, say leaders

2010-10-23T21:09:01Z

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Merkel urges joint effort on econ crisis before EU summit

2010-10-21T09:52:50Z

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UPDATE 4-European leaders vow stricter oversight of markets

2010-10-21T09:52:14Z

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Exhibitor numbers plummet at high-tech's biggest fair

2010-04-16T14:14:00Z

The number of exhibitors at the world's biggest high-tech fair, the CeBIT in Germany, will be off by more than a quarter due to the impact of the global economic slump, organisers said Friday.

Some 4,300 firms from 69 countries will be displaying the latest gadgets in information and communications technology next month, down from 5,845 companies last year, the fair's host De...

Germany, Austria support helping

2010-04-16T17:21:33Z

Germany, Austria support aid package for Eastern European

The German and Austrian chancellors stressed the importance of helping Eastern European nations weather the global financial crisis, but stopped short of discussing any specific aid measures after talks Wednesday.

Chancellor Angela Merkel said both Ge...

Germany forecasts worst recession since World War II

2010-04-16T17:25:12Z

Germany said on Wednesday it would suffer its deepest recession since World War II this year, as Chancellor Angela Merkel's government chewed over a historic rescue package aimed at easing the pain.

Germany's economy, which accounts for about a third of eurozone output, will contract by about 2.25 percent in 2009, the government s...

Merkel says stimulus package 'most difficult decision'

2010-04-16T15:20:35Z

German Chancellor Angela Merkel said Wednesday the decision to adopt the country's biggest postwar stimulus package was her toughest ever, as data showed the recession deepening in Europe's biggest economy.

"The path that we have taken in order get our country through the crisis means taking on a significant amount of new debt, this year and next," Merkel, who became chancellor in ...

German economy 'collapsed in late 2008, worse on the way'

2010-04-16T15:20:56Z

Snared by the global economic slump, the German economy contracted sharply late last year, suggesting a disastrous 2009 for Europe's industrial powerhouse.

Gross domestic product (GDP) shrank by an estimated 1.5-2.0 percent in the fourth quarter from the third, an official said, as the financial crisis and strong euro plunged the world's leading exporter deeper into recession.

The contraction was in line with suggestions from offici...

German government agrees massive economic boost

2010-04-16T15:22:25Z

Germany's governing coalition hammered out on Monday the country's biggest economic stimulus package in its postwar history, aimed at heading off a painful recession in the world's number one exporter.

The package, worth 50 billion euros (67 billion dollars) over two years, is a second, more powerful shot in the arm for Europe's biggest economy after Berlin to finalise a rescue package to stave off the worst recession for 60 years in Europe's largest economy.

Deepening a general feeling of gloom amid rising unemployment and a sharply contracting economy, new statistics revealed a collapse in Germ...

German jobless hits three million as recession bites

2010-04-16T15:26:39Z

German unemployment in December rose for the first time in 33 months, with over three million people out of work, data showed on Wednesday as the recession in Europe's economic powerhouse begins to bite.

Putting further pressure on Chancellor Angela Merkel's government to counter what is forecast to be Germany's deepest post-war slump, ...

Nobel laureate criticises Merkel on economic crisis

2010-04-16T13:51:14Z

German Chancellor Angela Merkel is unaware of the seriousness of the economic crisis, Nobel Economics Prize laureate Paul Krugman said in an interview to be published Monday.

Krugman told the weekly Der Spiegel that Merkel and her finance minister Peer Stein...

Merkel, under pressure to pay more, backs EU stimulus package

2010-04-16T13:51:17Z

German leader Angela Merkel gave her backing Thursday to a 200-billion-euro plan to dig Europe out of recession after her finance minister said tossing money around would only increase the debt burden.

As EU leaders gathered in Brussels for a summit, the outspoken interview b...

Germany: Merkel hosts experts at economic summit

2010-06-11T21:07:44Z

Merkel gathers experts to discuss new economic strategy for Germany

German Chancellor Angela Merkel conferred with government ministers, business executives and labor leaders Sunday for talks she hoped would help chart a course through the financial crisis for the EU's biggest economy.

Merkel told...

German central bank says economy to shrink in 2009

2010-04-16T13:58:19Z

Germany's Bundesbank: economy will shrink by 0.8 percent in 2009

Germany's central bank predicted Friday that the country's economy will shrink 0.8 percent next year as the global financial crisis takes its toll, just as parliament gave its final approval to an economic stimulus package that has been criticized as too timid.

The Bundesbank said in a twice-yearly report that the "prospects for the German economy h...

UPDATE 2-German lower house passes economic stimulus package

2010-10-21T09:46:04Z

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Brown repeating cheap credit mistakes, says Merkel

2010-10-21T10:28:23Z

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Merkel sees grim 2009 for recession-hit Germany

2010-04-16T14:12:31Z

Germany's fractious "grand coalition" government warned of a grim 2009 Sunday as it heads into an election year, but it remains deeply divided over the right medicine for Europe's biggest economy.

"We must expect that next year will be a year of bad news, at least in the first months," Chancellor Angela Merkel said.

She told Sunda...

Europe's biggest economy headed for grim 2009: Merkel

2010-04-16T14:12:34Z

Germany's unwieldy "grand coalition" government warned of a grim 2009 Sunday as it heads into an election year but remains bitterly divided on the right medicine for Europe's biggest economy.

"We must expect that next year will be a year of bad news, at least in the first months," Chancellor Angela Merkel was quoted as saying in an inte...

German chancellor urges companies to keep jobs

2010-04-16T14:12:35Z

German chancellor urges companies to be cautious about job cuts during financial crisis

German Chancellor Angela Merkel urged companies Sunday not to slash jobs as a result of the global financial crisis, warning that businesses will not be able to rebound once the turmoil eases.

Merkel cautioned in her weekly address that companies should not act too hastily in firing skilled employees because it wil...

Finance crisis shows teeth with mass Citigroup cuts

2010-10-22T11:36:40Z

A brutal financial crisis showed its teeth on Monday as the banking giant Citigroup announced a massive 50,000 job cuts and automakers begged governments to save them amid a spreading global recession.

Japan became the latest giant economy to confirm it had fallen into recession, following Germany and the Citigroup announced a massive 50,000 job cuts and automakers begged governments to save them amid a spreading global recession.

Japan became the latest giant economy to confirm it had fallen into recession, following Germany and the Germany is being pummelled by the global economic slowdown and is already in recession, economists said Thursday as data showed company order books in the world's top exporter emptying fast.

Orders for goods made in Europe's biggest economy plunged eight percent in September from August, the economy ministry said, the steepest fall since East and West Germany reunited to become one country in ...

German government tries to jump-start growth

2010-04-16T14:57:25Z

The German cabinet approved a 23-billion-euro stimulus package Wednesday to help Europe's biggest economy and the world's top exporter avoid the worst effects of a sharp global slowdown before a hoped-for recovery in 2010.

"I believe we are agreed that we must act now ... and send a signal that we will have bad news in 2009 but that we want to do something about it," Chancellor Angela ...

Sinking profits heighten recession fears

2010-06-12T03:09:26Z

BMW became the latest auto giant to be hit by the financial crisis Tuesday, announcing a profits dive while a key European official admitted the continent failed to read recession warning signs.

As a string of leading companies revealed sinking profits, the luxury German car firm said its third-quarter net profit plunged 63 percent to 298 million euros and that it would cut production by an additional 40,000 units this year.

Owing t...

Merkel details economic 'bridge' to 2010 recovery

2010-04-16T14:59:26Z

Chancellor Angela Merkel gave details on Tuesday of measures she hopes will help Europe's biggest economy mitigate the effects of a sharp global slowdown and confidently predicted an upswing in 2010.

"In 2009 we will have bad news but we are going to do something so that things can and will get better in 2010," Merkel said in a speech to a congress of German employers in Germany weather the global economic crisis will create or guarantee nearly one million jobs, Economy Minister Michael Glos was quoted as saying.

"With this catalogue of measures that we will adopt this week in cabinet, we are for certain going to be able to mobilise more than 30 billion euros in extra investment," Glos told Sunday's

TOPWRAP 3-Brown seeks cash for IMF as China, India feel crisis

2010-10-21T09:44:01Z

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PM economy talks with German leader

2010-10-21T10:26:14Z

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Sarkozy, Brown hold financial talks in sign of warming ties

2010-04-16T12:41:30Z

Prime Minister Gordon Brown was to meet President Sarkozy on Tuesday at the latter's woodland retreat in a sign that Franco-British relations are improving even as Paris and Berlin drift apart.

Brown and Sarkozy were to hold one-on-one talks on...

World recession fears mount after finance crisis

2010-09-22T13:49:22Z

Fears grew Wednesday that the financial crisis will mutate into a worldwide recession with leaders calling for new global action to counter slowing economies and market troubles.

As EU leaders gathered for a summit devoted to the financial turmoil, a top US central bank official, backed by new data, said the United States appeared to be in recession.

World recession fears mount after financial crisis

2010-06-12T11:23:56Z

Fears grew on Wednesday that the financial crisis will mutate into a worldwide recession with leaders calling for new global action against a slowdown.

As EU leaders gathered for a summit devoted to the financial turmoil, a top US central bank official said the United States appeared to be already in recession.

French President Nicolas Sarkozy opened emergency meetings of leaders from 16 European Union countries, nations around the world took new measures to reassure shell-shocked markets befor...

Economic powers stress joint action against feared 'meltdown'

2010-04-16T12:58:14Z

Key nations threw their support behind efforts to tackle the financial turmoil and amid grim warnings of a "meltdown" European leaders pledged their own action ahead of a crisis summit Sunday.

With governments anxiously hoping to calm markets, the Group of 20 countries which account for 85 percent of the global economy said they had agreed to use "all financial and economic tools" to calm the storm.

The Washington ...

Merkel says 'strong' Germany can handle financial crisis

2010-04-16T13:03:12Z

German Chancellor Angela Merkel said Tuesday that the long-term consequences of the global financial crisis were uncertain but that she was confident the "strong" German economy would survive.

In a keenly awaited speech to parliament, Merkel also singled out the United States for blame in the crisis and criticized

European leaders vow to fight financial storm

2010-06-12T11:13:32Z

The leaders of Europe's four main economic powers vowed Saturday to protect fragile banks from the global financial crisis but insisted on sanctions against the chiefs of failed banks.

France, Germany, Britain and Italy put on a united front, promisi...

Germany Afghanistan

2010-12-18T07:00:26Z

Picture provided by the press department of German Government, showing German soldiers explaining a what they call an Afghan fridge made of mud and straw to keep grapes fresh to German Chancellor Angela Merkel in Kunduz northern Afghanistan Saturd...

Germany Parliament

2010-12-16T05:30:51Z

German Chancellor Angela Merkel, right, talks to German Foreign Minister Guido Westerwelle, left, in the German parliament Bundestag in Berlin, Germany, Thursday, Dec. 16, 2010. (AP Photo/Gero Breloer)

German Foreign Minister Guido Westerwelle, German Defense Minister Karl-Theodor zu Guttenberg and German Chancellor Angela Merkel, from left, talk to each other before the weekly cabinet meeting in the Chancellery in Berlin, Germany, Wednesday, Dec. 15, 2010. (AP Ph...

Mexico Climate Conference

2010-12-03T10:30:46Z

Activists, wearing masks depicting U.S. President Barack Obama, left, Germany's Chancellor Angela Merkel, center, and Japan's Prime Minister Naoto Kan, protest against world's environmental policies in President Barack Obama, left, Germany's Chancellor Angela Merkel, center, and Japan's Prime Minister Naoto Kan protest world environmental policies in Mexico City<...

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Merkel under fire at home over eurobond stance

Comments from European Union leaders' summit