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Thursday, 29 September 2011 09:32 | 
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As European officials examine what action should be taken to alleviate the eurozone debt crisis, German Chancellor Angela Merkel has called for Germany to back an expansion of the euro rescue fund.
The rescue fund is known the European Financial Stability Facility (EFSF), and would boost bailout guarantees to 440bn euros. The new plan would allow the fund to buy bonds in secondary markets and enable bank recapitalisations.
Mrs Merkel’s decision has proved unpopular with some of her coalition, who are opposed to the committal of more money to rescue struggling eurozone members, such as Greece. In Athens, civil servants have blocked entrances to ministries in protest.
German lawmakers will vote this morning, on whether Germany should pass the bill on new powers for the EFSF. If more than 19 of Mrs Merkel’s coalition vote against her, then she will have to rely on the support of the centre-left opposition.
This comes after G20 officials met over the weekend, but could not agree on the best way forward.
Germany’s finance minister has this morning reiterated that Germany is “taking seriously our responsibility to protect the EUR”.
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