FRANKFURT (MNI) – Finland is not willing to make any compromises
with other Eurozone members when discussing collateral deals with Greece
for the upcoming bailout, comments by the financial secretary at the
Finnish Ministry of Finance in the Helsingen Sanomat suggested on
Friday.
“If the agreement does not suit the other countries as is, then
Finland cannot take part in guaranteeing the bailout loans for Greece,”
Jussi Lindgren told the newspaper.
Earlier this week, Greece and Finland reached a deal that would see
Greece offering Finland a cash deposit to back loans made under the July
21 bailout deal. The deposit would be roughly equal to Finland’s share
of loan guarantees in the new bailout.
The July deal in principle allows for bilateral agreements. The
implementation of the specific deal still requires the approval of the
other Eurozone countries.
But a number of Eurozone member states, including triple-A rated
Austria and the Netherlands but also Slovakia and Slovenia, have said
that should Finland insist on collateral, their countries would follow
suit to ensure equal treatment.
Greece’s bailout fund would be drained of a significant amount
of cash, further complicating the country’s rescue.
— Frankfurt newsroom: +49-69-720142; email: jtreeck@marketnews.com
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