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Germany's Merkel Says No Eurobonds 'As Long As I Live'

German Chancellor Angela Merkel delivers a government policy statement at the lower house of parliament, the Bundestag, in Berlin, on June 27.
German Chancellor Angela Merkel has brushed aside the latest push to pool together debt to solve the escalating eurozone debt crisis.

In the run-up to the European Union summit this week, Merkel is coming under mounting pressure to soften up Germany's resistance to the issuing of the so-called eurobonds that would share debt responsibility among the 17 eurozone nations.

Merkel told the German parliament on June 27 that introducing eurobonds now would be "economically wrong and counterproductive."

On June 26, she told a group of parliament deputies there would be no eurobonds "as long as I live."

Italy, Spain, and France are in favor of eurobonds, which could reduce borrowing costs for struggling eurozone members.

Berlin is fiercely opposed as the borrowing costs for Germany -- the biggest eurozone economy -- could increase.

In other news, the International Monetary Fund (IMF) announced on June 27 that Cyprus had asked for financial aid amid the eurozone debt crisis.

The IMF said in a statement it had received an invitation from Cyprus to "participate in the external financial assistance to contain the risks to the Cypriot economy."

Eurozone member Cyprus earlier this week said it intended to apply for a bailout package from its partners in the European currency union.

Eurozone finance ministers have welcomed Cyprus's request for financial assistance from the IMF.

They said in a statement on June 27 that the next step was for the European Commission, the European Central Bank, Cypriot authorities, and the IMF "to agree on a program."

The program would set the amount needed as well as spell out reforms Cyprus would need to carry out.

Based on reporting by Reuters, AP, dpa, and AFP