Germany cool to IMF idea of 'rainy day fund' for euro zone

WASHINGTON: International Monetary Fund head Christine Lagarde's suggestion that euro zone leaders should set up a "rainy day fund" to help cushion member states in economic downturns is not a good idea, two senior German officials said on Friday.

"I don't think the proposal is convincing," Bundesbank President Jens Weidmann said, adding that setting up such a fund would distract euro zone leaders from pressing issues.

German Finance Minister Olaf Scholz added: "I don't think the proposal of the IMF chief is one that should be pursued."