UPDATE 1-Merkel-coalition agrees EU treaty change key goal

Published 10/22/2010, 08:09 AM
Updated 10/22/2010, 08:12 AM

* Merkel says coalition backs EU treaty change

* Merkel says she, Westerwelle applaud Van Rompuy efforts

(adds Merkel quote in paras 2-3)

BERLIN, Oct 22 (Reuters) - German Chancellor Angela Merkel said on Friday that she and her other coalition partners agree EU treaty change is an important goal.

"We agreed with the French president to seek treaty changes and the Union and FDP agree this is an important goal," Merkel said at a press conference, referring to her Christian Democrats (CDU/CSU) and the Free Democrat (FDP) coalition partners.

She added that EU leaders would next week see the results of work led by European Council leader Herman Van Rompuy on budget rules, which she said "is seen by the foreign minister and myself as good work".

In a surprise deal struck in the French town of Deauville, Germany secured a commitment from France to support the idea of reforming the EU's fundamental treaty in exchange for backing a bid by Paris to soften a new set of EU budget rules.

Germany wants to change the Lisbon treaty, which came into force last December after years of negotiation, to make sure it incorporates a permanent system for handling financial crises, such as another sovereign debt collapse.

(Reporting by Stephen Brown; writing by Erik Kirschbaum)

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