Monday, May 7, 2012

EU Treaty: Germany Warns New French Leader...That didn't take them Long

French President-elect Francois Hollande spent the day with his transition team - as the problems he faces in his anti-austerity drive were thrown into sharp focus by Germany.

He was warned there was no question of unpicking an EU "fiscal treaty" agreed last December.

German Chancellor Angela Merkel told reporters: "We in Germany, and me personally, are of the opinion that the fiscal pact is non-negotiable."

That suggests EU leaders will attempt to agree a non-binding protocol on economic growth, which Mr Hollande believes is missing from the current approach to the crisis.

There is unease among Mrs Merkel's Christian Democrats about what Mr Hollande's centre-left campaign pledges of growth and state spending mean for efforts to contain deficits in the eurozone.

With a week to go before his inauguration as president, the 57-year-old victor arrived at the Socialist party headquarters in Paris where he was greeted by cheering supporters.

Mr Hollande said: "The plan for today is to work. Even if the handover isn't yet done, that'll come with time, we're still fixing it. Read More