• Germany edition
 
Merkel praises Italian economic reforms
Merkel and Monti. Photo: DPA

Merkel praises Italian economic reforms

Published: 11 Jan 2012 14:48 GMT+01:00
Updated: 11 Jan 2012 14:48 GMT+01:00

"As for the speed and substance of these measures, I think they will strengthen Italy, will improve its economic prospects and we have watched with great respect how quickly they have been implemented," Merkel said after meeting Italian Prime Minister Mario Monti.

"I think that overall, the work of the Italian government will be rewarded and I have said from the beginning that we should work very, very closely together," the chancellor added.

Earlier on Wednesday, Monti had warned in a newspaper interview of possible "anti-European" protests in his country if Rome's reform efforts were not recognised.

Speaking in German daily Die Welt, Monti complained: "The problem is that despite our sacrifices, we have not got anything in return from the European Union, such as a drop in interest rates.

"Unfortunately, we have to say that our reform policies have not received the recognition and appreciation in Europe that they deserve," the prime minister added.

"If the Italian people do not soon see tangible success for their savings and reform efforts, there will be a protest against Europe, against Germany - seen as the driver of EU intolerance - and against the ECB (European Central Bank)."

Strengthening Merkel's hand in her effort to promote fiscal responsibility, data showed Wednesday that the German economy, Europe's biggest, remained the powerhouse and one of the few bright spots in the eurozone.

German gross domestic product (GDP) expanded 3.0 percent in 2011, compared a record 3.7 percent the previous year, even though the eurozone crisis began to crimp growth in the fourth quarter, official data showed.

The strong performance enabled Germany to bring down its public deficit to just 1.0 percent of GDP last year from 4.3 percent a year earlier.

Elsewhere in the 17-nation eurozone, however, prospects were less rosy.

The European Union revised downwards its figure for eurozone growth over the third quarter of last year, to 0.1 percent.

The previous figure given was 0.2 percent but detailed EU data showed a drop on France's previously published growth rate between July and September, from 0.4 percent to 0.3 percent, which caused the revision.

Data also showed Wednesday that eurozone banks stashed a record sum with the ECB, suggesting tensions in the financial system remain despite huge injections of cash.

Banks parked €485.9 billion at the ECB on deposit for 24 hours, beating the record set the previous day.

AFP/hc

The Local (news@thelocal.de)

Your comments about this article

15:52 January 11, 2012 by mos101392
"If the Italian people do not soon see tangible success for their savings and reform efforts, there will be a protest against Europe, against Germany - seen as the driver of EU intolerance - and against the ECB (European Central Bank)."

Blah Blah Blah.....It took years of living the life off the backs of others, do the Italians think or expect change overnight. Common sense tells you if it took 10 yrs to be where you are at....it might take another 10 yrs to heal. One cannot expect to live the good life without sacrifice. Good thing I'm not German, otherwise I might protest against giving even more handouts. Same with the Greeks! I think there is a difference in cultures...some can't expect to do the work while others sit outside cafes and drink capacinos and laugh it up with friends...otherwise, they live in a dream world and sooner or later reality catches up...no wonder the Brits don't want anything to do with the euro!
17:31 January 11, 2012 by Englishted
@mos101392

I don't know where you are from but would you find it alright if a bigger and more powerful body say like the E.U. decided to impose a leader on you ?,

because the new leaders of Italy and Greece were not elected .

They were imposed to force through cuts and more cuts most of which effect people who had nothing to do with bringing about the crisis in the first place.

The E.U. was never a very democratic body but things are turning worse and I don't know where it will end but I fear the trend.
19:14 January 11, 2012 by mos101392
@ Englishted

Sounds like a sad story. I'm from Calif but live in Germany. There are some that say, your problems aren't my problems. Maybe the "elected" politicians did a bad job at "cooking" the books when it came to being a part of the euro zone...and now the time has come and only now are they squirming. Maybe, since the "elected" politicians got their people in this mess, and if they want out of this mess...then the ones who have the economic means to help, know who is better to do the job!. I don't think the argument is with Germany and France, the Greek and Italian peoples should be venting their anger at "THEIR" politicians who got them into this mess from the start.

No one was complaining the last 10 yrs but now is reality and if you are reaching out for help, then you must expect some conditions.

In America, it was easy for everyone to buy a home,,,it didn't matter if you had the money,,,now it has come full circle and those same families expect to keep their homes even though they can't pay anymore. I only wish I could get free money and not have to pay it back!
Today's headlines
JobTalk Germany
How to become an au pair in Germany
Photo: DPA

How to become an au pair in Germany

It’s not quite as romantic as the Nanny Diaries, nor is it as magical as Mary Poppins. But being an au pair in Germany can be fun, as Emma Anderson finds out. READ  

Merkel hails 'impressive' French reform plans
Merkel and Valls on Monday in Berlin. Photo: DPA

Merkel hails 'impressive' French reform plans

French Prime Minister Manuel Valls visited Chancellor Angela Merkel in Berlin on Monday, hoping to gain Germany's blessing for his revised economic reform programme. READ  

German Fifa exec: 'Qatar won't host World Cup'
Theo Zwanziger and one of the planned stadiums in Qatar. Photo: DPA

German Fifa exec: 'Qatar won't host World Cup'

Germany's top Fifa official said on Monday Qatar will not host the 2022 World Cup as planned, due to climate conditions. Qatar's successful bid to host the tournament has been marred by corruption and human rights concerns. READ  

Germany plans air lifts to help fight Ebola
A Liberian man holds his daughter as they wait for treatment for suspected Ebola symptoms in Monrovia. Photo: DPA

Germany plans air lifts to help fight Ebola

Germany and France will send military transport planes to West Africa to help efforts to contain the Ebola epidemic, Chancellor Angela Merkel and military officials said on Friday. READ  

Amazon workers walk out again
Amazon workers striking in Graben, Bavaria, on Monday. Photo: DPA

Amazon workers walk out again

Four Amazon shipping centres in Germany were the target of fresh walkouts on Monday in a long-running wage dispute with the US online retail giant. READ  

Half of German navy helicopters grounded
A German navy Sea Lynx helicopter. Photo: DPA

Half of German navy helicopters grounded

Half of the German navy helicopter fleet has been grounded after engineers found large tears in the panelling of a British-made machine on deployment. READ  

Germans say 'bah humbug' to early Xmas
Photo: DPA

Germans say 'bah humbug' to early Xmas

Christmas treats have already hit the supermarket shelves, but Germans surveyed by YouGov say "too soon!", while a third of respondents are for the government taking action to name a release date for holiday wares. READ  

Hoeneß pays tax bill, takes day off prison
Photo: DPA

Hoeneß pays tax bill, takes day off prison

The disgraced former president of Bayern Munich FC, Uli Hoeneß has paid €30 million of his outstanding taxes, the Süddeutsche Zeitung reported on Monday, and has taken a day off prison. READ  

Oktoberfest 2014
Fights and a skinny dip kick off Oktoberfest
Photo: DPA

Fights and a skinny dip kick off Oktoberfest

UPDATE: Paramedics and police were kept busy at the opening weekend of Munich's Oktoberfest, treating hundreds of revellers and arresting dozens, though it was still considered a peaceful start. READ  

Child warriors, 13, leave Germany for jihad
A photograph from the jihadist affiliated group Albaraka News allegedly shows a fighter from the Islamic State of Iraq and Syria (ISIS) tying up an Iraqi soldier Photo: DPA/EPA

Child warriors, 13, leave Germany for jihad

Children as young as 13 are travelling from Germany to Syria and Iraq to join Islamic jihadists, according to German intelligence agencies. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
DPA
Gallery
The best photos from Oktoberfest's opening weekend
Photo: DPA
Munich
Your guide to Munich Oktoberfest's food
Marks & Spencer
Sponsored Article
Marks and Spencer: Win €300 toward your new autumn wardrobe
Photo: Joanna Drath, University of Tübingen
Society
Europeans descended from three tribes
Photo: DPA
Culture
Your guide to Munich Oktoberfest's tents
Photo: DPA
Hamburg
Drunk teachers ruin school trip to Hamburg
Photo: DPA
Gallery
Oktoberfest 2014: The best and worst in dirndl fashion
Photo: Shutterstock
Gallery
Ten German words you'll never want to hear again
Photo: DPA
Education
German universities tumble in global rankings
Photo: Shutterstock
Business & Money
The three types of firms hiring foreigners
Photo: DPA
Berlin
Frisky couple shock Berlin commuters
Sponsored Article
Bilingual education from nursery to graduation at Phorms
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
National
Share news tips with The Local Germany
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,321
jobs available
Toytown Germany
Germany's English-speaking crowd