Eurobonds needed "fast," says German export group
In an interview with Reuters, BGA President Anton Boerner said that without so-called Eurobonds, there was a risk of a worldwide depression resulting from Europe's debt crisis.
"We must show the markets that we are ready to use the appropriate tools, and that means Eurobonds signed off by Germany," said Boerner, whose main priority in his position at the BGA is to ensure the strength of German exports.
"We need Eurobonds with strict conditions attached," he added, mentioning the anchoring of debt-brake legislation in the constitutions of all euro zone countries.
"We need this and we need it fast," Boerner said, urging the issuance of Eurobonds without limits on volume.
German newspaper Die Welt reported at the weekend, citing unnamed sources, that the government was coming around to the idea of Eurobonds, but top ministers in Chancellor Angela Merkel's government say the time is not right to consider such a step, which could increase Germany's borrowing costs.
(Reporting by Gernot Heller; Writing by Noah Barkin)