In what can be seen as a challenge to Germany which opposes introducing eurobonds to tackle the eurozone sovereign debt crisis, Barroso said he believes that euro stability bonds will be seen as ‘natural’ when the Union reaches its goal of reinforced governance, discipline and convergence in the euro area. Barroso made the statement as part of a 'Debate on economic governance' with MEPs in Stasbourg, in the presence of European Council President Herman Van Rompuy and Eurogroup President Jean-Claude Juncker. “The continued turbulent events in the sovereign bond markets were a sign that our challenges are of a greater magnitude”, Barroso said. He added that the problems the eurozone would face in 2012 would be "even more systemic and urgent". "We should continue to deal with them robustly and not be diverted from the direction we have set ourselves", he pleaded.
Barroso said the Commission would present and assess the options for the joint issuance of bonds in the euro area, as "a concrete demonstration of the principles of responsibility and solidarity".
Guy Verhofstadt, leader of the liberal ALDE group and certainly the most prominent promoter of eurobonds, introduced a new term, speaking of 'eurosecurities'. He added to this what can be seen as a middle way, to be put in place according to a blueprint from German economists. "We need to look into the proposal made by the five wise economists from the German Council of Economic Experts. In their opinion, a key element to end the crisis is the establishment of what could be called a European collective redemption fund. This would mutualise the debt in the eurozone above 60 per cent, combined with a bold debt reduction scheme for those countries, which are not on life support from the EFSF", Verhofstadt said.
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