Finance minister urges euro nations to mutualise debt

French finance minister Pierre Moscovici urged the eurozone to take a first step to mutualise its short-term debt, stopping short of jointly issued “eurobonds” which he recognised Germany rejects.

“We are not talking any more about eurobonds. I know it is a red line here in Germany, for some, the present government among them,” he said in English at a conference alongside his German counterpart, Wolfgang Schäuble.

“What I mean is that we need to address together the debt issue, and this must be backed by all 17 members of the eurozone, in order to pool some short-term sovereign funding instruments to build a first step towards some kind of mutualisation of the debt.”