but while mrs. merkeltruggles for approval abroad, on the other hand, she is wowing her key audience, germans. diana magnay finds out why. >> reporter: as the chefs get ready for another night in berlin's hottest new pop-up dining experience, over by the bar, a face gazes heavenward with serenity, seeking divine guidance perhaps on monetary matters. recognize the german chancellor? her third eye, the same symbol you'll find on the u.s. dollar bill, fitting as she's gracing the walls of berlin's old mint. olivia steele runs this restaurant and commissioned portuguese street artist villes for this piece. >> he's not very fond of her. we had this discussion. he asked if he could do his interpretation of her, which is half angela, half skull. >> and you said no. >> no, not in germany. >> reporter: that's because whatever the feeling in europe's south, many germans not naturally predisposed to her party's social conservatism are giving merkel the thumbs up. like curator johan, also involved in this concept. >>

what we've seen is a sticking plaster complied to all of the different problems that are going on mrs merkel saying well we'd like to keep everybody in the euro and we hope to keep everything together and we'll work very hard to do that well you know what the problem is it doesn't matter how much you talk about something it's actions that kind of at the moment all we have is words mr sarkozy is willing to burn the european union on the hire of his reelection efforts and that therefore leaves him fundamentally right time goes to germany physician which is apparently to try and provide some sort of long term solution i mean the situation in greece is particularly acute the position in many other countries is going to be much worse and of course we have multiple elections coming up this year not just in france but also in greece itself as well as many other places that are going to in many ways further exacerbate the politics of the euro going forward. here with are still ahead for you this hour football fever is coming to town as fans count down the days until euro two thousand and twelve kick

what we've seen is a sticking plaster up lied to all of the different problems that are going on mrs merkel saying well we'd like to keep everybody in the euro and we hope to keep everything together and we'll work very hard to do that well you know what the problem is it doesn't matter how much you talk about something it's actions that kind of at the moment all we have is words are so as we know there were an echo. with all that meeting in berlin today we were showing live pictures just an hour or so ago let's talk about the issue of psycho's e because i well germany wants to right the listing ship and set it on a long term path to recovery surely you saw cosy with his eye on this year's presidential election needs a quick fix solutions in order to stay in office his popularity isn't exactly in the best of shape look absolutely correct i mean mr sarkozy serve popularity at the moment does well actually it's probably not as bad as it ought to be given high dismal his politics have been in recent times but even today he's had the best results in months and he still is percentage points behi

what we've seen is a sticking plaster of clyde to all of the different problems that are going on mrs merkel saying well we'd like to keep everybody in the euro and we hope to keep everything together and we'll work very hard to do that well you know what the problem is it doesn't matter how much you talk about something it's actions that are going to run at the moment all we have is words if the euro actually breaks up which is unfortunately quite possible at the moment i'm not saying it's probable and i'm not saying it's definite but it's possible if the eurozone breaks up that's going to give uncertainty uncertainty means people don't know whether to order things for their company it also means that individuals don't know whether to spend money at the shops it means ultimately that all of that little grease that orders the wheels of commerce critics start and that's the real problem here what may happen is alternately we may see the i.m.f. the international monetary fund ultimately trying to come in and staple together some sort of a solution whatever happens there's a lot of uncertainty

mrs. merkel's side. the british minister, david cameron. he isn't going to stand in the way of the fiscal treaty, but, however, as the man who refused to sign that pact, his vow to go to the courts if he feels british interests are undermined by these proposals. here's a look at how it's playing how. major indices. they're responding positively to some kind of statement coming out of brussels albeit across 25 of the 27 e.u. member states. as you can see, we have the likes of the ftse 100. the biggest gains come from paris. there's one particular country not on the markets, but it is an important bell weather, we're talking about spain here. we all know that the spanish economy has been suffering earlier in the week. we found out that it slumped to the tune of .3 of 1% in terms of gdp. we know that the net profit plunged 98% over the course of the fourth quarter of the year. it's coming at about 47 million euros. compare that to one in excess of 2 billion euros this time last year. it shows how much the spanish banks are hurting andrew. >>>

earlier richard quest put it to ken row gog that mrs. merkel to display emergency on the matter. rogoff himself is not convinced. >> heard this urgency for two years now and they keep saying this is it, we have solved the problem, and we're nowhere near the end of this i don't think. >> so what is the problem now? is it just greece? is it sitly? where does the problem lie? >> it certainly is not just greece. there are other countries that need deep debt restructuring, talking about portugal, possibly ireland, possibly spain. they need to decide where to draw the line, where it won't cost so much that it's better to save than not. but greece, that's not going to work. >> well, rogoff also mentioned spain as a cause for concern there. we also remind you madrid has just announced its unemployment figures, showing a rate of nearly 23 prd unemployment for that country over the course of the last quarter of the year. that means about 5.3 million people are now out of work across spain. so the situation just gets worse there. at this point we want to

embarrassing them for psycho's the now that he's trying to lead the way with merkel to sort out the euro it's a disaster for mr sarkozy but then again it's been coming since the start of his presidency it's been building for twenty five years and he did nothing about it so he's just as culpable as everybody else in this issue but of course it looks terrible because not he looks just like the man in the cartoon sees the man playing with the trin set while mrs mrs moon markel is actually making the decisions for europe going ahead the issue of motive leo this is that it fundamentally alters the balance of power within europe because france is not very very second degree and member of the top pairing in the european union and that leaves everything up to play for in the e.u. at the moment it also leads germany to hideously exposed and domestic politics in germany are advised to get very bloody from it as markets domestic policy politics of course for psycho's into where the presidential elections looming there in france look at this juncture i've been saying it for months i actually think that mr sarkozy will be

mr. de to chancellor -- after having listened yesterday to chancellor merkel to hear the prime minister talking about his future of the world and the future of europe, and i should -- so the prime minister of the united kingdom, please welcome. is all too apparent, while china grows at 8%, india at 7%, and africa at 5.5%. european commission forecast that the eu will grow by just . 6% in 2012, and that is assuming the problems in the eurozone get better, not worse. mr. day in britain, we had the official figures for the final quarter of the last calendar year, and they were negative. other economies are forecast at a similar outcome or worse. in four years, government debt has risen by 4500 euros. direct investment has fallen by 2/3, and in more than half of eu member states, one-fifth of all young people are not out of work. this is not a moment to try to pretend there is not a problem. nor is it a moment to allow the fear of failure to hold us back. this is a time to show the leadership that our people are quite rightly demanded. tinkering here and there and hoping we will drift to a solution

probably mr david cameron how has he been received infringers are given the kind of icy cold stare down there. yeah i don't think he's making friends in brussels or in germany when it comes to angela merkel or where some of these technocrats or bureaucrats are trying to push push for further integration as the solution to the eurozone crisis without more money in the terms of been a form of bailouts because david cameron basically just hammered the euro zone and said that the eurozone needs to do a lot more an order to preserve the single currency that they need a central bank they need it way more economic integration they need to be able to have some kind of way what sounds like euro bonds in order to address the imbalances he said it's not that the euro zone doesn't have all of these that it doesn't have any of these so hammer of a hammer angela merkel and germany's saying that basically this is a trade deficit problem and that surplus countries have to bear more of the weight i'm pretty sure is talking about germany there in the case of the eurozone so i guess is to be expected from david cameron because we have heard some of these. ideas from him in the past but he very much made th