7 Dec 2010

Germany resists eurozone bail-out fund move

11:15 pm on 7 December 2010

Germany looks likely to block moves that some eurozone partners and the International Monetary Fund argue could help resolve Europe's debt crisis.

Pressure is growing on the eurozone to expand the 750 billion euro war chest for bailing out debt-ridden nations, and create a joint government bond to reduce borrowing costs, the BBC reports.

Germany's Chancellor Angela Merkel dismissed both proposals, however, hours before a meeting of eurozone finance ministers to discuss the bloc's debt problems.

Ms Merkel told a news conference in Berlin that she saw no need to boost the bail-out fund, which is unpopular in Germany because of the size of the country's commitment.