BERLIN- German Chancellor Angela Merkel said Friday that European countries are striving to create a fiscal union to strengthen fiscal disciplines in fighting the eurozone debt crisis.

"We are not only talking about a fiscal union. We are beginning to create it," Merkel said in a keynote speech to the parliament, adding a fiscal union should be launched at least for the eurozone and the way to do that is seeking limited changes to the European Union treaty.

She also reiterated Germany's rejection to euro bonds and stressed the independence of the European Central Bank should be maintained.