Merkel, Sarkozy agree to punish euro members who don’t follow common rules

Merkel, Sarkozy agree to stabilize the euro

PARIS — French President Nicolas Sarkozy said Thursday that he and German Chancellor Angela Merkel agreed on the idea of imposing sanctions, including political ones, on eurozone countries that mismanage their economies.

Sarkozy told reporters that they agreed that the sanctions should stretch beyond financial measures, and will be discussed with all 16 countries that share the euro currency next month.

Sarkozy cited, for example, the possibility that, as one of the possible sanctions, eurozone states that violate common rules might temporarily lose their voting rights .

“There’s total agreement between the Chancellor and me on the principles of sanctions,” Sarkozy told reporters in Paris. He said Germany and France would work on means to improve the eurozone stability pact to establish more criteria on accountability, transparency and efficiency.

German government spokesman Ulrich Wilhelm says Chancellor Angela Merkel and French President Nicolas Sarkozy held an extensive telephone conversation Thursday during which they agreed to work more closely together on increased stability and other economic issues.

Wilhelm says Sarkozy has accepted an invitation to visit Berlin on June 7, ahead of next month’s Group of 20 summit in Canada to discuss the two nations’ joint stance.