Joint Statement From Merkel And Sarkozy On Global Financial Crisis

Tyler Durden's picture

Below is the full text of the joint French-German statement attempting to prevent another European market collapse. Next up are comparable statements from the ECB and from theG7. We expect many more before the night is out.

Following is the full text of a joint statement issued on Sunday by German Chancellor Angela Merkel and French President Nicolas Sarkozy on measures to tackle the euro zone debt crisis.

President Sarkozy and Chancellor Merkel reiterate their commitment to fully implement the decisions taken by the heads of state and government of the euro area and the EU institutions on July 21st 2011.

In particular, they stress the importance that parliamentary approval will be obtained swiftly by the end of September in their two countries.

They welcome the recent measures announced by Italy and Spain with regard to faster fiscal consolidation and improved competitiveness. Especially the Italian authorities' goal to achieve a balanced budget a year earlier than previously envisaged is of fundamental importance. They stress that complete and speedy implementation of the announced measures is key to restore market confidence.

As decided on July 21st, the effectiveness of the EFSF will be improved and its flexibility increased linked to appropriate conditionality, in particular through the following instruments: precautionary program, finance recapitalization of financial institutions and to intervene in secondary markets on the basis of an ECB analysis recognizing the existence of exceptional financial market circumstances and risks to financial stability and on the basis of a decision by mutual agreement of the member states, in order to avoid contagion.

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Mongo's picture

Intervention bitchez!

MarketTruth's picture

What is the difference between a central bankster and a counterfeiter?

Reese Bobby's picture

Brilliant answer.  Very funny....

goldfish1's picture

I'd like to see you at a microphone with bernank in the hot seat.

Founders Keeper's picture

...counterfeiting is transitory.


uno's picture

Helicopter Ben flying Jackson Hole again, perfect timing

bigdumbnugly's picture

he'll be filling that hole with new FRN's soon too.

they'll have to change the name of the place to just plain Jackson.

snowball777's picture

Counterfeiters are subject to arrest.

NumNutt's picture

One is paying off the government, the other keeps all profits for themselves.

So Close's picture

Because the govenrment knows best.

Manthong's picture

"the EFSF will be improved and its flexibility increased"

We already know where the flexibility is coming from.

espirit's picture

Global Financial Crisis? Who could have seen that one coming?

Gold, bitchez.

jaffa's picture

Negative GDP growth lasting two or more quarters is called a recession. An especially prolonged recession may be called a depression, while a long period of slow but not necessarily negative growth is sometimes called economic stagnation. Since these phenomena affect much more than the financial system they are not usually considered financial crises as such though there are clearly links between the two. Thanks a lot.
Vacation Rentals

jaffa's picture

In corporate finance, a company's capital structure is the total mix of financing methods it uses to raise funds. One method is debt financing, which includes bank loans and bond sales. Another method is equity financing the sale of stock by a company to investors, the original shareholders of a share. Thanks for sharing. Regards, banking information

jplotinus's picture

International cooperation bitchez!

Too bad the US has not joined in on that effort, let alone led it.

Thus is the fatal flaw of self-seeking capitalism exposed. The way forward for overcoming the world financial crisis lies in a greater capacity for international cooperation based on a financial system where sharing, rather than profit, is paramount.

This is what socialism mandates and what capitalism fails, utterly, to grasp.

Coke and Hookers's picture

You are joking, right?

What do you think all the 'capitalists' have  been up to for the last few decades? They have been knocking down trade barriers, increasing international cooperation massively, both financial and industrial. This has resulted in incredible imbalances in the world economy where one part has industrialized and amassed wealth while the other has deindustrialized and amassed debt. This is called 'globalism' and it makes pinkos like you get a major hardon.

While all the 'cooperation' and 'sharing' looks good when you've never been out in the real world, it has actually wrecked the world economy. The west has dug itself into a debt hole where the east owns the debt but will never get it paid back. Everybody is fucked and 'international cooperation' (globalism) is directly to blame for the situation.

Suggesting more of it as a solution is about as stupid as suggesting more debt as a solution to a debt problem.

Frankly, your post looks like it was posted from the Twilight Zone.

I'm fucking speechless.

Kat's picture


The fatal flaw of socialism is the collapse you see before you.  Note that capitalist Hong Kong and Singapore aren't imploding along with all of your beloved social democracies.

Since you are a fool, I doubt you'll understand.

Central Bankster's picture

And without capitalism and the price mechanism, how will we allocate resources?  Who will decide who gets what?  And if I or anyone disagrees with those who command control resources, what means other than violence, will they have to get what they need?  Socialism always leads violence because it destroys free choice.

goldfish1's picture

global currency bitchez?

Ramboy's picture

German Govt is in favor of massive bond buying for Italy and Spain as per Der Spiegel 4:47 EST

No word on Zerohedge

Dave Thomas's picture

It can only shit out so much pertenant economic news. How bout you head over to Yahoo Finance and take a load off.



DRT RD's picture

Where are my green and red up down buttons? Do i need to adjust my ssetting or something?

narapoiddyslexia's picture

"finance recapitalization of financial institutions???"

Not again... Can't we just let them die.

toady's picture

We must finance the finaciers who finance the financiers in finance.


Or we could just kill them all and let Allah sort them out.

grunk's picture

Chancellor Merkel:

"Stop bothering me. I'm hiking."

max2205's picture

..... My dress. See the black forest

Quintus's picture

Oh dear.  No mention of a larger EFSF.


Not at all what the markets want to hear.

CrashisOptimistic's picture

That is precisely my read, too.

There is NOTHING in this statement about more money for the EFSF.  There is nothing in this statement other than support for an agreement July 21 (which has not been funded).

They have no new agreement.  This statement is empty.

Threeggg's picture

They are greasing up the roller bearings as the printing presses are going to be working OT this week.

The interventions are going to be off the charts/books

toady's picture

Make sure its all off-book. We don't want any of this coming back on us.

DoChenRollingBearing's picture

Threeggg, I hope they are using grease for high temperatures...  Or those bearings will, wait for it:




zebra's picture

eventaully, people will dismiss anything that any governemt say.



Taku's picture

Were Merkel & Sarkozy holding hands for that statement?

They're talking to themselves, at this point.

scratch_and_sniff's picture

LOL "swiftly by the end of september", fail.

augie's picture

"Big Foreign Buyers Likely to Stick With Treasuries Despite Downgrade"

Bloomberg Homepage. Why not just write "Don't Panic" in large friendly letters and hope for the best? 

hedgeless_horseman's picture

S&P downgrade "mostly harmless"

jplotinus's picture

Bloomberg is likely correct. I hate to see ZHers become so shrill over something that is, well, transitory. Even if it's 'big down' on Monday, there's a good chance it'll be a 'big up' on Tuesday, Thursday latest.

You heard it here first.


Sophist Economicus's picture

"I hear a train a comin', it's rolling round the bend......"

snowball777's picture

"Gonna make a whole lotta money...gonna be big yeah...I'm gonna buy this town...put it all in my shoe...might even give a piece to you..."


holdbuysell's picture

Tyler, are you having trouble keeping the site up? I keep getting errors periodically that the site is not available. Anyone else having trouble?

youngman's picture

Yes......and it is coming in all goofy on my Blackberry.....its all lineal...