German Chancellor Merkel says European debt crisis will dominate G20 weekend summit in Mexico

BERLIN – Germany’s chancellor says Europe’s lingering sovereign debt crisis will likely dominate this weekend’s summit of the world’s 20 most important economies in Mexico.

Angela Merkel said Thursday in an address to parliament before leaving to the gathering of world leaders that Europe’s debt woes “will overshadow all other topics” and all eyes will be on Germany as Europe’s biggest economy.

She maintains that she will defend Germany’s approach that a mix of fiscal tightening and reforms is the only way to overcome the crisis and to return to sustainable growth.

She says: “We must all resist the temptation to finance growth again through new debt.”

Financial officials begin meeting Friday in Mexico’s coastal resort of Los Cabos, and national leaders will start assembling two days later.