(Corrects debt amount in first paragraph.)
Dec. 4 (Bloomberg) -- Germany would transfer about 500 billion euros ($670 billion) of its debt into a redemption fund amid a proposal by German Finance Minister Wolfgang Schaeuble, Passauer Neue Presse reported, citing an interview with him.
Schaeuble this week proposed that each euro-area country set up a national fund to pay down its debt to boost market confidence in the joint currency. The plan would allow member countries of the euro region to reduce their debt to 60 percent of gross domestic product over a span of 20 years, he said.
In Germany’s case, to reduce the country’s current debt level of 80 percent of gross domestic product to 60 percent, the fund would amount to about 500 billion euros, including federal, state and municipal debts, Schaeuble is quoted as saying by Passauer Neue Presse.
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