–No Comment On Aid Package Before Details Known
–Need Strategy For Lasting Stable Public Finances In Greece
BERLIN (MNI) – The German government on Wednesday refused to pass
judgement on the accord for financial aid to Portugal, noting that it
does not yet know the details of the deal.
“We are still waiting for information,” government spokesman
Steffen Seibert said at a regular press conference here. “Given the
volume of the deal, the government is well advised to take its time to
study carefully [the deal] to be able to position itself at the European
level,” he explained.
Portuguese Prime Minister Jose Socrates announced Tuesday night
that his country had reached an agreement with the European Union and
the International Monetary Fund on a E78 billion bailout package.
Socrates said the program was substantially similar to a government
austerity plan whose defeat in parliament led to his resignation and to
new elections to be held June 5.
German Finance Ministry spokesman Martin Kreienbaum said today that
“as always it is important for the [German] government…that firm and
strict conditions be formulated.”
Turning to the demand of the Greek government for another extension
to its EU-IMF loan repayment schedule as well as an interest rate
reduction, Kreienbaum said this is not first and foremost to be decided
by Germany.
“It is crucial to find a solution for Greece to put the country’s
public finances on a permanently stable basis,” Kreienbaum explained.
“Which instruments are suitable for that will be decided jointly in the
course of the program by the IMF, the ECB and the [EU] Commission,” he
said.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
[TOPICS: M$$CR$,MGX$$$,M$X$$$,M$G$$$,MFX$$$]
