In a telephone conversation, Merz also voiced “grave concern” over developments in the Palestinian territories and stressed that there must be no “de facto partial annexation” of the West Bank, according to a government spokesperson.

The call comes amid escalating tensions following the conflict launched on February 28 by Israel and the United States against Iran, which has increasingly threatened to expand into a broader regional war. German officials said Merz reiterated Berlin’s support for diplomatic efforts aimed at securing an understanding between Washington and Tehran.

Merz, who had initially backed the U.S.-Israeli military action, has shifted his stance as economic risks and security concerns intensify, including Iranian retaliatory strikes and disruptions to global energy flows.

He also indicated that Germany could contribute to ensuring maritime security in the Strait of Hormuz, a key global oil transit route, but only after hostilities cease and necessary conditions are in place.Shipping through the strait, which previously accounted for roughly one-fifth of global oil supplies, has been significantly disrupted amid Iranian threats targeting commercial vessels.

The situation has been further complicated by a partial naval blockade declared by U.S. President Donald Trump following stalled negotiations with Iran.

Al-Sharaa met Starmer at 10 Downing Street, marking the first visit by a Syrian head of state to London since former president Bashar Assad traveled to the UK in 2002.According to a Downing Street spokesperson, discussions covered migration returns, border security and efforts to combat people-smuggling networks.

Starmer also welcomed steps taken by Damascus against Daesh, citing progress in counter-terrorism cooperation between the two countries.The talks also addressed broader regional stability concerns alongside economic cooperation.

The visit comes as Syria seeks foreign investment to rebuild infrastructure damaged during years of civil war. Al-Sharaa is expected to hold further meetings with senior British officials during his stay.

He was accompanied by Foreign Affairs Minister Asaad Hassan Al-Shaibani and Economy Minister Nidal Al-Shaar.European outreach continuesAl-Sharaa arrived in London following a visit to Germany, where he met Chancellor Friedrich Merz, as part of a broader diplomatic push to re-engage European partners.

No specific agreements were announced following the London meeting.

Speaking alongside Syrian transitional President Ahmed Al-Sharaa in Berlin, Merz said both governments were seeking to create conditions that would allow more Syrians to return voluntarily to their homeland.

Germany hosts the largest Syrian diaspora in the European Union, with more than one million Syrians, many of whom arrived during the 2015–2016 migrant influx.“We are working jointly toward more Syrians being able to return to their homeland,” Merz said at a joint press conference.

Sharaa said Damascus and Berlin were exploring a “circular” migration framework that would allow Syrians to participate in rebuilding their country while retaining the option to remain in Germany.

Such a model would enable returnees to contribute to reconstruction efforts without permanently relinquishing the economic and social stability they have established abroad, he said.

Merz said Germany intended to support Syria’s reconstruction after years of civil war, adding that a German delegation would travel to Syria in the coming days to advance cooperation.

However, he stressed that deeper bilateral engagement would depend on progress toward establishing rule-of-law institutions.

“Many joint projects in the future will depend on our finding a state governed by the rule of law,” Merz said, adding that he was confident such conditions could be achieved following discussions with Sharaa.

German Chancellor Friedrich Merz told lawmakers in Berlin that while Iran must not threaten regional stability, Washington had failed to present a credible plan or request European participation. “To this day, there is no convincing plan for how this operation could succeed,” he said, adding that the United States had neither coordinated with allies nor outlined the necessity of their involvement.

His defense minister, Boris Pistorius, struck a similarly firm tone earlier in the week, stating, “This is not our war, we have not started it,” underscoring Berlin’s reluctance to be drawn into a widening confrontation linked to U.S. and Israeli actions.

French President Emmanuel Macron echoed Germany’s position, saying Paris was not a party to the conflict, reflecting broader unease among European capitals about both the rationale and execution of the U.S. initiative.

The near closure of the Strait of Hormuz, a critical artery for global energy shipments, has heightened economic concerns, placing pressure on governments to respond to rising risks to trade and supply chains. However, European leaders have signaled that any response must be coordinated, measured, and grounded in clear strategic objectives.

Merz, who has long advocated strong transatlantic ties, adopted notably direct language, highlighting a shift in tone among U.S. allies faced with what they perceive as unilateral decision-making in Washington.

Despite differing national interests, European leaders have sought to maintain a unified front, prioritizing diplomatic coherence while managing relations with an unpredictable U.S. administration.

Officials across the region have emphasized the importance of avoiding escalation, even as they acknowledge the broader security implications of instability in the Gulf. Their stance suggests a recalibration of transatlantic dynamics, with greater emphasis on consultation and multilateral engagement.

The divergence comes at a time when global markets remain sensitive to disruptions in energy flows, and policymakers weigh the risks of deeper military entanglement against economic and security considerations.

The announcement marks a shift toward optimism and collaboration, emphasizing peace, stability, and shared responsibility between both nations.

Merz acknowledged Germany’s long-standing humanitarian role during the Syrian civil war, when the country opened its doors to over one million refugees fleeing violence.

He praised the resilience and contributions of the Syrian community in Germany, recognizing their vital role in enriching German society, culture, and the economy over the past decade.

The chancellor’s message was framed around unity, opportunity, and the importance of rebuilding a peaceful Syria.

He expressed hope that many Syrians would voluntarily return home once conditions stabilize, bringing valuable skills and education that can strengthen their nation’s social and economic foundation.

Germany’s new focus is not on deportation but on creating pathways for safe, voluntary, and sustainable repatriation.

Officials emphasized that every decision will be guided by humanitarian principles, respect for international law, and coordination with global organizations to ensure the protection of human rights.

Merz noted that Syria’s transition from conflict to reconstruction presents a chance for healing and renewal.

He stressed that Germany stands ready to support this process through partnerships in infrastructure, education, and humanitarian assistance, helping to restore essential services and opportunities in Syrian communities.

The German government aims to work closely with the European Union, the United Nations, and Syrian authorities to build frameworks that encourage voluntary returns while ensuring safety and dignity for all participants.

This coordinated approach underlines Germany’s commitment to stability, peacebuilding, and mutual cooperation in the post-war phase.

Foreign Minister Johann Wadephul, during his recent visit to Syria, reaffirmed Germany’s commitment to humanitarian aid and development.

He emphasized that long-term peace will depend on social inclusion, reconstruction of local economies, and the reintegration of returning citizens into safe and productive environments.

German policymakers view this as an opportunity to transform the narrative on migration — from crisis to cooperation.

By empowering Syrians to rebuild their homeland, Germany seeks to create conditions for sustainable peace while continuing to support refugees who remain vulnerable or unable to return.

Community leaders and advocacy groups have welcomed the government’s renewed emphasis on voluntary repatriation and reconstruction.

They stress the importance of ensuring that any return process is based on individual choice, transparent communication, and adequate support for families transitioning back to life in Syria.

At the same time, Germany remains firm in its commitment to counter extremism, uphold security, and strengthen integration programs for those who stay.

Officials continue to highlight the achievements of Syrian professionals, students, and entrepreneurs in Germany who have become symbols of determination and coexistence.

The policy discussion also aims to balance compassion with responsibility, ensuring that humanitarian values remain central to migration and foreign policy.

Experts believe that successful reintegration of returning Syrians can contribute to regional stability, economic growth, and cultural exchange between Europe and the Middle East.Germany’s message is one of partnership, optimism, and renewal.

The government envisions a future where Syria stands as a stable, self-sufficient nation that maintains strong ties with Europe, particularly in education, trade, and innovation.

This vision aligns with Germany’s broader goal of promoting peace and unity through cooperation and shared development.

Chancellor Merz concluded his remarks with a hopeful tone, emphasizing that rebuilding Syria requires global support and the courage of its people.

Germany, he said, will continue to stand by the Syrian community, both at home and abroad, to ensure that peace, opportunity, and dignity become lasting realities for all.

Germany’s top financial leaders rally behind Chancellor Friedrich Merz’s call for a European stock exchange — a bold step toward strengthening Europe’s financial unity, global competitiveness, and investment potential.

In a strong display of economic alignment, German Finance Minister Lars Klingbeil and Bundesbank President Joachim Nagel have thrown their full support behind Chancellor Friedrich Merz’s proposal to create a European stock exchange.

This initiative, aimed at boosting capital mobility, investment, and financial resilience across the continent, marks a pivotal moment in Europe’s journey toward a fully integrated capital markets union.

The proposal is being hailed as a transformative step that could reshape Europe’s financial landscape, allowing its businesses to compete more effectively on the global stage.

By championing a unified stock market, Germany’s leadership is not only advancing the continent’s financial strength but also underscoring its commitment to long-term economic growth and investor confidence.

Speaking on the sidelines of the International Monetary Fund (IMF) meetings in Washington, Klingbeil emphasized that the creation of a European stock exchange would be a “sensible and strategic step” in advancing the EU’s capital markets union.

The concept aims to harmonize capital flows within Europe, making it easier for businesses — from startups to major corporations — to access investment and funding opportunities across borders.

Klingbeil noted that the proposal “deserves full support,” adding that it aligns perfectly with Europe’s ongoing mission to deepen economic integration and enhance competitiveness in a rapidly changing financial environment.

By removing market barriers and improving access to funding, a pan-European stock exchange could become a catalyst for innovation, job creation, and sustainable growth.

Bundesbank President Joachim Nagel echoed Klingbeil’s enthusiasm, describing the proposal as “an intriguing and forward-looking idea.” He said that such a move would send a strong signal of confidence in Europe as a global business hub.

“I think it’s an interesting idea, an inspiring proposal,” Nagel said, adding that it would reinforce Europe’s image as a stable and attractive investment destination.

He also noted that while the ultimate decision lies with market participants and private enterprises, the support of political and financial institutions provides valuable momentum to make it a reality.

By aligning financial policies with broader European goals, the proposed exchange could help consolidate the region’s diverse financial centers — from Frankfurt to Paris and Milan — into a cohesive powerhouse capable of rivaling the dominance of New York, London, and Hong Kong.

Beyond the stock market initiative, Klingbeil and Nagel also addressed Europe’s approach to banking regulation. While the U.S. has recently pushed for deregulation in its banking sector, Germany’s finance minister was firm in his belief that Europe must maintain strong safeguards while remaining flexible where bureaucracy hinders efficiency.

“We certainly won’t go along in Germany and Europe with this deregulation craze that now seems to be developing in the United States,” Klingbeil said. “But it’s also clear that we must look closely at where excessive bureaucracy exists, including in the banking sector.”

Nagel agreed, stressing the need for “great caution” in any move toward deregulation. He reminded that Europe has learned crucial lessons from the 2008 global financial crisis, and the robust supervisory mechanisms built since then have made European banks far more stable and resilient.

“It would be downright absurd to give that up in any way,” he said. His comments underline Germany’s balanced approach — promoting growth and innovation while preserving the financial discipline that has protected European economies for over a decade.

The idea of a European stock exchange resonates strongly with Europe’s broader ambitions to become a leading financial and technological force. A unified exchange could enable more efficient capital formation, attract global investors, and reduce dependence on foreign financial centers.

Furthermore, such an initiative would empower European companies — particularly small and medium-sized enterprises (SMEs) — to scale more rapidly by tapping into a deeper pool of investors.

It would also create new opportunities for sustainable finance, allowing Europe to channel more investment into green technologies, digital transformation, and social innovation.

By building this foundation for a truly integrated financial system, Europe would enhance its global competitiveness and assert its leadership in shaping the future of responsible capitalism.

The unified support from Germany’s leading financial figures marks a historic moment of consensus. It demonstrates that Europe’s most influential economy is not just committed to its own stability but to the collective progress of the continent.

Chancellor Merz’s proposal, backed by Klingbeil and Nagel, embodies a shared belief that Europe’s strength lies in cooperation, innovation, and solidarity.

By moving toward a European stock exchange, the continent is signaling to the world that it is ready to lead — not follow — in the next era of global finance.

As Europe looks ahead, this proposal could become one of the most significant milestones in building a modern, resilient, and inclusive financial future for generations to come.

While the FSB acknowledged “significant gaps” in how countries currently oversee crypto markets, it also praised the notable progress made since its 2023 recommendations, which aimed to align crypto regulations with mainstream financial standards.

The report underscores that the rapid growth of digital assets presents both opportunities and challenges, and that international cooperation is key to managing them effectively.

Building a Safer and More Transparent Financial Future

The FSB’s latest review reflects a proactive and constructive tone. Rather than warning of imminent threats, the organization highlights the importance of addressing inconsistencies in regulation to support a stable and transparent global crypto ecosystem.

“Financial stability risks remain limited at present,” said John Schindler, Secretary General of the FSB, in an interview with Reuters. “But as the crypto market grows, the need for consistent, cross-border rules becomes essential.

These crypto assets move easily across borders—more so than most traditional financial assets—so cooperation is crucial.”

The report comes amid a surge in cryptocurrency value, with the global market doubling to nearly $4 trillion over the past year. This rise, while remarkable, has also highlighted the need for stronger frameworks to ensure that growth is sustainable and that investors remain protected.

Stablecoins: The Next Frontier of Regulation

One of the FSB’s key areas of focus is stablecoins, digital assets typically pegged to traditional currencies like the U.S. dollar.

Although the stablecoin market remains smaller than the broader crypto sector, it has grown significantly — nearly 75% over the past year, reaching a value of just under $290 billion.

Stablecoins have become essential for the functioning of many digital transactions, serving as a bridge between crypto and traditional finance.

The FSB’s review found that while several jurisdictions have begun developing rules for stablecoins, many are still in early stages.

The FSB encourages all countries to establish comprehensive, transparent, and consistent frameworks to ensure that stablecoins are safe, reliable, and fully backed by tangible assets.

Schindler noted that U.S. regulations on stablecoins have already provided a foundation that other regions can learn from.

The European Union, Hong Kong, and the UK have also made progress toward implementing the FSB’s recommendations.

However, the organization emphasized that full international alignment will be essential to prevent regulatory loopholes and ensure a fair global playing field.

Strengthening Global Cooperation and Trust

The FSB reviewed 29 jurisdictions, including major economies such as the United States, the EU, the UK, and Hong Kong.

While not all countries have participated fully in the process, Schindler stressed that the ongoing dialogue remains valuable.

He noted that cooperation must continue to deepen, as the borderless nature of digital assets requires regulators to share information and coordinate policies effectively.

“We can all put in place frameworks,” Schindler explained, “but if some players aren’t cooperating, it becomes much more difficult. Crypto assets don’t observe borders — and that’s exactly why we must work together globally.”

The FSB’s latest findings come at a time when governments and institutions are increasingly focused on building a responsible and innovative financial ecosystem.

The collapse of major platforms such as FTX in 2022 served as a wake-up call, prompting reforms that have already improved transparency and investor confidence.

A Constructive Path Forward

The FSB’s report concludes with eight key recommendations to speed up the creation of comprehensive, globally consistent rules.

These include greater data sharing among regulators, closer monitoring of systemic risks, and alignment of national frameworks with international standards.

While the organization warns that risks could rise if left unaddressed, its tone remains forward-looking. The rapid expansion of crypto assets is viewed as an opportunity for the global financial system to evolve toward innovation with accountability.

As the FSB prepares to present its findings to G20 finance ministers, the message is clear: the world’s economies are entering a new phase of financial cooperation — one that balances innovation, transparency, and stability.

With global coordination and continued progress, the crypto sector can mature into a trusted pillar of the modern financial system, benefitting investors, consumers, and economies worldwide.

His proposal reflects both moral conviction and strategic foresight, positioning the EU as a proactive force for stability, solidarity, and justice in the face of ongoing conflict.

Speaking before the Bundestag, Germany’s lower house of parliament, Merz said he would urge EU leaders to approve a €140 billion ($163 billion) interest-free loan for Ukraine.

This unprecedented financial initiative would be backed by the Russian assets frozen in Western nations following Moscow’s 2022 invasion of Ukraine.

The move, according to Merz, would not only reinforce Ukraine’s resilience but also send a powerful message to Moscow that Europe’s support will remain unwavering.

“We do not want to do this in order to prolong the war, but to end it,” Merz stated, emphasizing that peace can only be achieved through strength, unity, and consistent support for Ukraine’s sovereignty.

“President Putin must realize that our support for Ukraine will not wane, but will grow, and that he cannot count on outlasting us.”

A Vision of Responsible European Leadership

Merz’s stance marks a defining moment for European leadership. By proposing the use of frozen Russian assets, the German Chancellor demonstrates that Europe is prepared to act collectively and responsibly, ensuring that those who breach international law contribute to repairing its consequences.

His plan represents a pragmatic yet principled approach — combining financial innovation with moral clarity.

The proposal has already attracted attention across the continent as a potential blueprint for how democratic nations can finance peace and reconstruction without burdening taxpayers.

By leveraging assets already immobilized by sanctions, the EU could unlock crucial funding to sustain Ukraine’s defense, rebuild infrastructure, and maintain essential services — all without expanding public debt.

Reinforcing European Unity and Values

Merz’s address to parliament also underscored broader priorities for the EU summit, including European defense, security, competitiveness, migration policy, and the Middle East situation.

His remarks highlighted Germany’s ongoing role as a stabilizing force within Europe and its commitment to shared values of freedom, democracy, and collective security.

By linking the use of frozen assets to a transparent and coordinated EU mechanism, Merz aims to demonstrate that Europe can act decisively when its fundamental principles are threatened.

The plan also reflects growing consensus among EU members that economic and legal tools must be used more effectively to deter aggression and support international law.

A Signal of Hope and Determination

Merz’s initiative carries a hopeful message for Ukraine and for Europe as a whole. It reinforces the idea that democratic nations are not powerless in the face of aggression — that they can respond not only with sanctions and aid but with bold, constructive financial strategies.

The €140 billion loan, if approved, could provide Ukraine with vital long-term stability and strengthen its capacity to rebuild and modernize even amid conflict.

Moreover, Merz’s message to the Bundestag was not merely about financial measures. It was a reaffirmation of Europe’s unity and moral purpose.

By choosing to focus on ending the war through sustained support, rather than fatigue or hesitation, the German Chancellor framed the EU as a community of enduring resolve — one that stands firm against coercion and violence.

As leaders prepare to meet at the upcoming EU summit, Merz’s proposal could become a turning point in European policy toward Russia and Ukraine. It offers a way to transform frozen assets into instruments of peace, stability, and justice.

The Chancellor’s forward-looking approach embodies a broader shift in European politics — from reactive crisis management to proactive global leadership. His vision aligns with growing calls for transparency, accountability, and strategic solidarity within the European Union.

By advocating for this landmark initiative, Friedrich Merz not only reaffirms Germany’s leadership role but also strengthens Europe’s moral and political unity.

His proposal represents more than a financial mechanism; it is a statement of hope — that through unity, resilience, and principled action, Europe can help end the war, rebuild Ukraine, and shape a safer, fairer world.