BERLIN (Reuters) - German Chancellor Angela Merkel said on Tuesday the situation in the euro zone was still extremely fragile but reiterated that Europe's biggest economy would not borrow more to boost investment.
"The economy in the euro zone has not developed as we would have wished. This is partly down to internal factors but .. there are also some geopolitical reasons," she said in a speech to Germany's employers association.
"Investment is needed but not with new borrowing," she said.
(Reporting by Madeline Chambers and Erik Kirschbaum)