Russia and Germany interested in speedy restoration of stability in Eurozone - Putin
BERLIN. June 1 (Interfax) - President Vladimir Putin has said Russia and Germany see eye-to-eye on the need for the speedy restoration of stability in the Eurozone.
"As for the possible Eurobonds or however they are called, we don't know what they are going to be; we don't know what is being suggested in relation to them or who is going to issue them. I can imagine that such instruments could be used, but as I see it after fully guaranteeing stability and order in the economy," Putin said at a press conference following his talks with German Chancellor Angela Merkel answering a question from Interfax.
He said that the leaders of Russia and Germany did not discuss the issue in detail in the course of their talks. "But following the logic of what Germany has been doing so far I believe that the German leadership does not want problems in the Eurozone to recur time and again. Here I can definitely say that we coincide, we can say that our interests - the interests of Germany and Russia - coincide here," Putin said.
"We want to guarantee the normal functioning of our economies. We are also interested in the European economy functioning normally," Putin said responding to a question from Interfax.
"We keep approximately 40% of our reserves - and they are the third biggest in size in the world - in euro," he said. "A considerable part of them - and I said that to Mrs. Federal Chancellor - are in German bonds, state securities. They are not very profitable, though, but then we find them stable," he said.
"What these European bonds that you spoke of are like I don't know yet, but I know that someone must buy them. If Germany is going to stand behind them, they will be bought and the liabilities of countries in a difficult situation will be financed with them and money will be given for development. But what if those countries fail to stand by their commitments, who will pay for the bonds? Germany, most likely. But that is not my question anymore. It is a question of a political choice - German, French, the leadership of the European Union as a whole," Putin added.