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Merkel:Germany To Keep All Options Open To Fight Downturn
BERLIN -(Dow Jones)- Germany is leaving all options open to fight the economic downturn, Chancellor Angela Merkel said Monday.
Merkel said, however, she opposes what she calls a "senseless" competition for any economic stimulus measures, speaking at a conference of her Christian Democratic Union in Stuttgart.
"Germany will keep all options open to continue fighting effectively the consequences of the global crisis. I emphasize: All options," Merkel said in a televised speech. "What we won't do is to replace immediately effective and timely limited growth incentives with a structural tax reform."
Merkel has been under pressure within her own party and also by fellow European Union leaders for opposing far-reaching economic stimulus packages, such as tax cuts. Her grand coalition government has presented a EUR32 billion fiscal stimulus plan for the next two years. She said the ruling parties will discuss whether and what kind of extra measures might be needed when senior party officials meet Jan. 5, 2009.
But Merkel added that she wouldn't enter into a competition for presenting a new fiscal stimulus plan. She also said that the European Union's growth stimulus plan is heading in the right direction. The party's board Sunday approved Merkel's view that there is currently no need for tax cuts but a far-reaching tax reform should be implemented once the next government has taken office after the general elections in September 2009.
-By Andrea Thomas, Dow Jones Newswires; +49-30-2888-410; andrea.thomas@dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/al?rnd=cyyj%2Fj9l%2Faz7taM%2FBIG0ZQ%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
December 01, 2008 06:33 ET (11:33 GMT)

Publié le 01 Décembre 2008 Copyright © 2008 Dowjones


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