German Chancellor Angela Merkel said today that the coalition government agreed that countries should use the flexibility offered by the Stability Pact in order to promote growth, competitiveness and create jobs.

“The German government agrees that the Stability and Growth Pact offers excellent conditions for this purpose, with clear limits, on the one hand, and a lot of instruments allowing flexibility on the other” said German Chancellor at the German parliament.

“We must use both, as they have been used in the past,” he added.