FRANKFURT (MNI) – German Finance Minister Wolfgang Schaeuble said
he is personally prepared to see national sovereignty on fiscal matters
ceded to Brussels, but does not consider the Eurozone ready as a bloc
to hand over complete power just yet.

“As a private person, I am quite prepared to see this happen. I
have no problem with the idea of a European finance minister,” Schaeuble
told the Welt am Sonntag.

However, in the absence of greater policy integration within
Europe, “it is our task here and now, working within existing
frameworks, to solve these problems as quickly as possible,” he said

Schaeuble went on to say he did not think other member states were
ready to accept the necessary limitations on national sovereignty.

“This is a long journey and we can go only so far and fast in our
attempts to persuade other member governments,” he said.

“We must try to solve this crisis by operating within the rules
outlined within existing European treaties. Larger steps cannot be
achieved without first altering the treaties and this would take too
much time.”

“At the same time I say: We will defend this European currency not
only under all circumstances, but we will also continue to develop it
gradually,” he said.

Again questioned on calls for collectivizing sovereign debt,
Schaeuble said eurobonds had become a synonym for greater European
fiscal integration.

“One question is: Can we have a monetary union, when the economic
strength and fiscal policies are so different? Greater pooling of
financial and economic policy will reduce these differences. Therein
lies the key.”

–Frankfurt bureau tel.: +49-69-720142. Email: frankfurt@marketnews.com

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