Merkel's lack of vision is Europe's 'Achilles heel': Saxo CEO

Merkel's lack of vision is the Achilles' heel of Europe, according to the CEO of Danish bank Saxo.

"Politics is all about solving day-to-day problems and following opinion polls on what voters are prepared to tolerate, rather than leadership and fundamental personal integrity," Lars Christensen, chief executive and co-founder of Saxo Bank said ahead of elections in the country on September 22.

"And as I see it, Europe's Achilles' heel is the German Chancellor, the de facto leader of the EU, and her lack of vision for the EU."

Merkel is far ahead in the polls. Her alliance of Christian Democrats (CDU/CSU) and the Free Democratic Party (FDP) is set to win 47 percent of the vote, up from 45 percent a week earlier, a Forsa survey conducted for Stern magazine showed on Wednesday.

(Read more: German elections are a 'close call': Merkel)

"She will then stay the de facto leader of the EU and its future and disaster currency will be determined by this former research chemist," Christensen said, arguing that Merkel had yet to offer new ideas and visions in her policies.

As the euro zone's largest economy Germany has been instrumental in the four sovereign bailouts of Greece, Portugal, Ireland, Cyprus and the rescue of Spanish banks.

While Merkel has backed unpopular austerity measures for southern Europe she has also blocked attempts to mutualize euro zone debt.

Speaking to CNBC Europe's "Squawk Box" on Thursday, Christensen said the euro had failed and southern Europe had paid an "immense price" for the single currency.

"For the euro zone it's a very bad thing and while there's occasional, small glimpses of optimism in the long-run this is not a sustainable project and something will have to change…If you look at the underlying economics, it's clear that it's destroying the euro zone [and] clearly detrimental to many euro zone members."

(Read more: Greece returns as hot-button issue in German election)

On Wednesday, Chancellor Merkel ruled out any new aid for Greece until mid-2014. Her comments followed Finance Minister Wolfgang Schaeuble's comments on Tuesday that Greece would need a third bailout.

One strategist told CNBC that it was unlikely that Germany's policy would change towards its euro zone neighbors after the elections.

"Not nearly enough is being done to secure Greece's membership of Europe's single currency area," Nicholas Spiro of Spiro Sovereign Strategy told CNBC on Wednesday. "Greece will need further debt relief at some point. The problem is that Germany is only willing to keep Greece ticking over, and is not prepared to write off its bail-out loans."