Merkel warns of incalculable dangers if struggling euro fails

GERMANY will present draconian rules it wants eurozone countries subject to when finance ministers meet in Brussels tomorrow, many of which would require treaty change.

Chancellor Angela Merkel for the second time in a week warned yesterday that, “if the euro fails, then Europe fails”, adding that the euro was in danger and the consequences, not just for Europe, were incalculable.

She wants the annual budgets of eurozone countries to be strictly checked by the European Central Bank or a group of independent economic research institutes ahead of being implemented by member states, according to German media reports.