World Bulletin/News Desk

The European Union's fiscal compact is not up for renegotiation, German Chancellor Angela Merkel said on Monday, a day after Socialist Francois Hollande won France's presidential election.

Hollande has criticised Germany's heavy emphasis on austerity to tackle Europe's sovereign debt crisis and has called for policies to revive economic growth.

"We in Germany are of the opinion, and so am I personally , that the fiscal pact is not negotiable. It has been negotiated and has been signed by 25 countries," Merkel told a news conference.

"We are in the middle of a debate to which France, of course, under its new president will bring its own emphasis. But we are talking about two sides of the same coin -- progress is only achievable via solid finances plus growth," she added.

Angela Merkel said on Monday she would welcome French president-elect Francois Hollande "with open arms" and said the two leaders would work together closely.

"We will work together well and intensively and we will meet quite soon after (he enters office)," Merkel told a news conference, one day after Hollande was elected French president.

"I may say from my side that Francois Hollande will be welcomed with open arms here in Germany by me," said Merkel, who publicly backed President Nicolas Sarkozy during the election campaign.

Merkel also said it was important that Greece, where ruling pro-bailout parties lost their majority in a parliamentary election on Sunday, continue with the agreed reform programmes.