Merkel stands by principle of balanced budget, spokesman says

German Chancellor Angela Merkel has made it clear that she stands by the principle of a balanced budget, her spokesman said after an official said the finance ministry was considering issuing new debt to finance a climate protection program. "The chancellor has never left any doubt ... that she stands by the principle of a balanced budget," government spokesman Steffen Seibert told a news conference on Monday.

"We have a policy that is not being called into question that we had balanced budgets in recent years and we continue to strive for those," he added.