Macron warned that the political reaction after this crisis could kill the European project

Angela Merkel agreed with the bleak assessment of the situation, she resisted calls for mutualizing debt, warning against unrealistic expectations. 

Merkel’s tone was more categorical than before

After Bailing Out Euro Area, Lagarde Tackles Merkel on Debt

Bloomberg 26 March 2020


Germany’s top court has already warned that eurobonds would require a change in the country’s Basic Law



The most heavyweight endorsement of a move towards true fiscal union 

The constellation — call them the “No Limits Nine” — have written to European Council president Charles Michel calling for the creation of a common debt instrument to fight the devastating impact the coronavirus crisis is threatening to wreak on Europe’s economy.

Among the signatories are usual suspects such as France, Italy and Spain and relatively new adherents such as Ireland, Slovenia and Luxembourg. 

 The statement is perhaps the most heavyweight endorsement of a move towards true fiscal union in the history of the single currency area. But for now, that call will go unheeded.


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