As the economic and financial pressures within Europe, it is not surprising that political differences and quickly reached a tipping point. The carnage on European debt markets continued last week, while Spain, Portugal, Ireland and Belgium have again received a special punishment. For most of PIGS debt spreads to Germany, very close to the record and the width values. Yield Buwayhids increasingly separated from all other debt markets in Europe, while Germany politically distancing itself from the rest of Europe.
In a reflection of the increased commitment within the coalition to block any further requests for assistance to Germany, Michael Meister (representative of the Ministry of Finance in Parliament on the block CDU) has suggested that the patience of legislators "not unlimited", the desire to take further steps with regard to German taxpayers money a "very low" and to look for "alternative methods". This followed the issue of Angela Merkel in the Reichstag on Wednesday, where she asked, "have a policy to force those who earn money by sharing the risk?" Chancellor gathers those who share the burden of rescue - she has already received support in principle from the French, Danes and Finns. And it is clear that in Germany, continued participation in the rescue gets serious resistance. In recent days, there were suggestions from Brussels that the fund size of salvation (EFSF) should increase significantly, and perhaps even to double (from the current € 440 billion) to be able to save Ireland, Portugal and Spain. It is clear that Germany is making a major part in EFSF horrified by this idea, which was confirmed by the Speaker Steffen Seibert on Thursday.
In turn, European officials fear that Germany puts its interests above pan. For example, Luxembourg Prime Minister Jean-Claude Juncker, yesterday called on the federal and provincial government not to lose sight of what's good for the entire region. Of course, Germany can always refer to that acting in their interests, always plays for the benefit of the entire region in the long term, and moreover, that Germany was asked to support an abnormal payout profligacy of others. Besides the obvious political differences with regard to rescue packages for Germany, there are very real expectation that the judicial authorities deem the salvation of Greece and the establishment of ESFS illegal under German law at the beginning of next year. Despite the fact that Germany is acting quickly on the harmonization of a reliable mechanism to overcome the crisis, a revolt debt buyers in the European markets will prolong the crisis. EU summit next month - is very important. Europe can not accept an outflow of deposits from their banks due to loss of confidence in them that the money earned will once again return to them. Many European countries are simply unable to offer coverage restrictions or guarantees deposits due to the already battered financial situation. Debt investors are panicking because they did not believe more so that taxpayers will be able to honor the debts of governments. Unfortunately a broad restructuring of banking and public debt - that's what you want today. But now the time is not on the side of Europe. If European politicians do not take quickly to Germany over the division of the burden, the future of the euro in its present form under serious doubt.
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