Merkel, Macron agree on new eurozone budget

BERLIN - German Chancellor Angela Merkel and French President Emmanuel Macron on Tuesday agreed to create a multi-billion eurozone investment budget for economic development of the bloc.

The two leaders on Tuesday held talks in Meseberg outside Berlin to prepare for the June 28-29 European Union (EU) summit.

"We are opening a new chapter across the board," Merkel told reporters after the talks, referring to the results of the meeting which would serve as a basis for further negotiations at the summit.

Macron had pushed for a special euro budget in a bid to reduce the economic imbalances among EU member countries, but Merkel has recently called for a limited new investment pool as much as tens of billions of euros.

Macron said the new budget is to be built into the budget plans from 2021 onwards.

"We are now entering a second stage in the life of our common currency," said Macron.