Merkel says financial transaction tax is right for equities - sources

German Chancellor Angela Merkel welcomed Finance Minister Olaf Scholz's proposal for a financial transaction tax but said that such a tax was appropriate only for equities, not other types of securities or financial instruments, according to sources.

Speaking at a closed meeting of her party's legislators on Tuesday, she added that France and Britain had also chosen similar approaches, meaning that the three countries would not end up too far apart, the sources added.