Negotiations on a new European treaty to reinforce budget discipline in the eurozone are making rapid progress and there is “a good chance” of reaching agreement by the end of January, according to Angela Merkel, Germany’s chancellor.
Her confidence was echoed by Nicolas Sarkozy, French president, speaking after a bilateral Franco-German summit in Berlin yesterday. He said the new treaty, including a requirement for all 17 eurozone members to agree constitutional amendments to balance their budgets, should be signed by March 1.
At the same time, the two leaders called for fresh measures at the European level to revive growth and job creation in the eurozone, as the “second pillar” of a strategy to stabilise the euro.
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