Bundesbank Chief Nagel Calls for Joint EU Debt, Politico Reports

Bundesbank President Joachim Nagel has called for the European Union to increase its joint debt issuance, according to a report by Politico. Nagel believes that more EU-level debt would make the region more attractive to investors and strengthen the euro's global standing. The Bundesbank chief argued that the EU should expand the use of joint debt instruments, such as the NextGenerationEU recovery fund, to finance common projects and respond to crises. This would help diversify the EU's funding sources and reduce reliance on individual member states' debt. Nagel's comments come amid ongoing discussions about the future of EU fiscal rules and the role of joint debt in the bloc's economic policy. The issue is expected to be a key topic of debate as the EU reviews its fiscal framework in the coming years. Overall, Nagel's call for more EU-level debt highlights the growing recognition of the potential benefits of increased fiscal integration within the European Union.