FRANKFURT Oct 7 Euro zone countries need to
create a true fiscal and economic union if the bloc's economy is
to avoid falling into a "secular stagnation", the European
Central Bank's chief economist said on Friday.
"Going into this direction will require member states'
willingness to make a leap forward in sharing sovereignty
similar in scope to the one made when the Maastricht Treaty was
signed," Peter Praet told an event in Washington.
"In this sense Member States collectively control the
destiny of the euro area and through well-aligned policies can
make sure that 'secular stagnation' will not take hold in the
(Reporting By Francesco Canepa; Editing by Andrew Heavens)