The Franco-German axis powers met yesterday in Paris. French president Nicolas Sarkozy and German chancellor Angela Merkel started planning an agreement to propose a ?true economic government for the eurozone.? That is to say, more cohesion and coordination among the 17 countries that use the euro as their currency.
That said, Merkel and Sarkozy did not address specifically the debt crisis or possible measures to resolve current problems despite the turbulence and instability that are plaguing the eurozone and its markets.
According to Sarkozy?s explanation during a press conference held after several hours of intense discussion, France and Germany want to create an advisory committee comprised of European heads of state. The committee would meet twice per year and be run by a president who presides for two and a half years. Both leaders agree that the first leader should be Herman Van Rompuy, the current president of the European Counsel, provided that he accepts the intense challenge.
?We have clear intentions of assuming responsibility for and defending the euro,? Sarkozy assured. He is determined to end harmful rumors and speculation, both of which are undermining confidence in the eurozone?s ability to rediscover growth.
Improved governance within the zone is the main point in Sarkozy and Merkel?s plan for transcending the debt crisis and avoiding another recession, but it is not the only point. France and Germany also want to demand more responsibility from their partners. So they are asking them to incorporate a new constitutional law that forces them to keep their public accounts balanced. It relates to the famous ?golden rule? that Germany has already adopted and the French government wants to adopt before winter.
