Monday, June 3, 2013

Franco-German EU deal puts onus on Hollande to reform

A Franco-German deal to strengthen the euro zone has ended months of bickering between Paris and Berlin and raised the onus on French President Francois Hollande to embark on potentially explosive social and economic reforms.

German Chancellor Angela Merkel, Europe's most powerful politician, made a string of symbolic concessions to France in joint proposals for closer economic policy coordination outlined last week, in return for a clear commitment to reform.

She did so because bolstering the stagnant French economy has become a top German priority.

"If France weakens further, it endangers the foundations of the euro," a senior German official said.