German finance minister Wolfgang Schaeuble told reporters that direct recapitalization of euro zone banks with European funding was out of the question.
 
He said that European Union treaties had to be observed and added that any initiatives for direct bank recapitalization would face legal obstacles in Germany.
 
“The idea that one can get as fast as some think to direct bank recapitalization … can only be explained by lack of knowledge,” Mr. Schaeuble said.