The Local writes that American financier George Soros accused Germany of the single currency crisis. According to the investor, the turmoil has escalated because Angela Merkel’s government delayed to grant financial aid to Greece.
In the interview to Handelsblatt Soros said that Eurobonds issue, which is opposed by Germany, is the only way to avoid euro collapse. George Soros supposes that urgent support of separate countries is a false way which should be replaced with support measures of the Eurozone economy in whole. Soros also noted that the debt crisis can affect Italy and Spain’s economies as they pay higher debenture interests than the one they receive from Greece.
Angela Merkel has been already criticized for her vacation which was not interrupted even despite the debt crisis in Europe and threatening situation on the financial markets. Meeting of Merkel and Nikolas Sarkozy is due on the next Tuesday – they will discuss the current economic situation. Analysts apprehend that credit agencies may downgrade the rating of France and it would lead to collapse on the European Stock markets.
Germany having the most stable economy in Eurozone and issuing the most reliable bonds follows very moderate policy in allocating the bailouts to the European countries. Thus, when Greece called for credit through EU and IMF, Angela Merkel said that they shall develop the mechanism of exiting the Eurozone in order to avoid partial or full default of one country to affect the common currency.
