Deutsche Bank chief calls for government stimulus package

Agence France-Presse, Frankfurt

Deutsche Bank chairman Rolf Breuer called on the government on Thursday to help jolt the economy, still reeling from the terrorist assault on the U.S. last month, back to life by means of infrastructure investment and bringing forward planned tax reforms.

The state's role should not be restricted to that of a mere firefighter in the economic crisis triggered by the attacks on Sept. 11, Breuer wrote in an article published in the business daily Handelsblatt on Thursday.

It should now press ahead quickly with "all the measures which had been seen as appropriate and desirable to strengthen the growth momentum in the immediate future so as to prevent capacity utilization from falling still further," Breuer argued.

"Among such measures are long-delayed infrastructure investments, as well as the further rounds of tax cuts scheduled for 2003 and 2005," the banking chief continued.

Reducing and streamlining the role of the state by the process of deregulation and privatization did not mean that the modern- day state should be on the retreat everywhere, Breuer argued.

The political and economic situation in autumn 2001 "is extremely explosive and calls for steadfastness."

There was no room for panic or hectic action. "More important are sobriety, decisiveness and solidarity between members of free society," he said.

"There is no call for inaction ... Politicians must be more than firefighters."