PARIS (MNI) – The measures adopted by Eurozone leaders Thursday
will assure that Greece can repay its debts and prevent speculative
attacks on other countries, French Finance Minister Francois Baroin said
Friday.
“‘Selective default’ is a legal qualification of the rating
agencies,” Baroin said in a radio interview. “It’s their business.”
“Even if the rating agencies made that decision, everything is in
place” to avert a default by Greece, he said. “The European Central Bank
will continue to play its central role as lender.”
In addition, the enlarged European Financial Stability Facility
will be “more flexible” and will be able “to intervene to prevent all
attacks of investors or speculators on countries with very high debt,”
the minister said. The EFSF will have “a very large capacity to play its
role as regulator.”
France will “take the necessary measures” to assure that its public
deficit falls below the Maastricht ceiling of 3% of GDP in 2013, Baroin
reiterated.
It will no doubt be necessary to reduce the fiscal write-offs by “a
bit more” than the E3 billion foreseen for next year, but it is too soon
to say how much, he added.
–Paris newsroom +331 4271 5540; Email: stephen@marketnews.com
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