Download Bailout Comments Those without source are all BBC monitoring

Bailout Comments
Those without source are all BBC monitoring.
The euro zone aid package has saved the euro from bankruptcy, Jean-Pierre Jouyet, the
chairman of the French Financial Markets Authority (AMF) told French radio Europe 1
in an interview on 11 May, emphasizing that there was no alternative to the euro.
The adoption of a EUR 750bn EU-IMF rescue package for troubled eurozone countries
was hailed as a major step Monday as Slovene President Danilo Tuerk held talks with
European Parliament President Jerzy Buzek. "The crisis is serious, but so is the EU's
response," Busek said, labelling it "a big step forward". He said it made him "very
optimistic" about the fate of the euro. President Tuerk agreed, noting that the reaction of
financial markets suggested the markets perceive it as such as well. The president also
expressed regret at the late realization by the EU that the International Monetary Fund
(IMF) can be useful in assessing the situation in countries that are in trouble. "If this had
been realized earlier, in January or February, we would have been in a better position
today."
Spanish foreign minister, Miguel Angel Moratinos, expressed confidence that a line will
be drawn under speculators' attacks on the euro: “It's the European response which all
the markets were waiting for and which European citizens were waiting for: above all,
more Europe, more European intervention and solidarity. It's the biggest response the
European Union has made to the speculators and I hope they will see it as such.”
[Addressing concerns that the bailout could cause inflation in Germany]: "Inflation is the
greatest social injustice, for pensioners and low wage earners suffer most under it," warns
Federal Minister for Economics Rainer Bruederle in Bild am Sonntag. "For this reason,
we absolutely must prevent inflation."
[Belgium] The euro countries must show their solidarity with the creation of a
stabilization fund and a genuine economic government must be developed for the euro
zone. According to outgoing Finance Minister Didier Reynders (MR [French-speaking
Reform Movement]) this is the twofold task for the crisis meeting of EU finance
ministers.
Belgian Prime Minister Yves Leterme, who has resigned, said on Friday [7 May] that he
was in favour of stronger economic governance of the euro-zone as are France and
Germany, and that the Greek crisis was an "historic chance" to be seized.
Slovenia is making its participation conditional on Greece's consistency in meeting
austerity and reform measures, while it is also urging institutional reform of the euro area,
Prime Minister Borut Pahor announced after the cabinet session.
President of the Democratic Movement [MoDem] Francois Bayrou spoke on Wednesday
[5 May] about a "a line of dominos " to evoke the risk of the Greek crisis spreading to
Portugal and Spain, saying he also thought that France "was not outside what's going on"
but "at the end of the line". "You never know in a storm where lightning will strike. In
any case, what's gathering over a certain number of European countries and ultimately I
think over France will force us to radically alter how we think about the state and to
restructure the country and politics in our country," he said in conclusion.
French Economy Minister Christine Lagarde said that Greece should focus on reducing
its expenses and that they will check in on Greece every three months. Lagarde said there
is no alternative to the plan: "No alternative, because there is no more money." Lagarde
said that rating agencies need to be "controlled further" and made to respect the rules.
This, she said was a strong signal to the market to indicate that "there is no more
speculation to be made over Greece and that the country should be left to recover".
Francois Hollande, the ex-leader of the French Socialist party, speaking on RTL radio
said he would vote in favour of the plan of support to Greece in the National Assembly
on 3 May. "It is quite a late plan but sufficiently large to end speculation. This is the
meaning of my vote," said Hollande. Hollande said he found the "austerity plan" for the
Greeks "extremely hard" and expressed regret that it took too long. "If there had been as I
said a plan of support to end speculation two months ago, the efforts requested of the
Greeks would probably have been smaller." Asked whether he backed the French
government on the plan of support, he responded by saying that he did not support the
government but Greece and the euro and that France was in fact also protecting itself.
[France] "The Socialist Party deplores Europe's attitude towards the financial crisis which
has hit Greece and which is blowing a huge wind of concern across the euro zone," the
national secretaries of the Socialist Party Jean-Christophe Cambadelis (in charge of
European and international affairs) and Michel Sapin (in charge of economic affairs) said
in a statement. "The European Union has taken too long to react. The powerlessness of
the French-German engine is tangible. The inefficiency of the European Commission is
detrimental. Most importantly, the rising selfishness is terrifying for Europe's future,"
added the two MPs.
Cypriot Minister of Finance Charilaos [Kharilaos] Stavrakis has said that Cyprus is ready
to offer financial aid to Greece, of around 60 million euro. Stavrakis said that it is
Cyprus' duty to help Greece during this difficult time. Asked whether there is any chance
that Greece exits the Eurozone, he said "this must be considered as impossible".
“We want the details,” Otto Fricke, the budget spokesman in parliament for Merkel’s
Free Democratic coalition partner, said on Deutschlandfunk radio today. “Where will the
money for the European Union’s first installment come from, if and when it comes?
There are many ifs and buts.” Source
[Sweden] “We want to join the euro and we want to have a referendum in the coming
years, within the next mandate period,” said Mathias Sundin, parliamentary candidate for
the Liberal Party in Östergötland. Sundin emphasised that the party’s line has not been
affected by the Greece crisis. ”The crisis in Greece is not because of the euro, it’s
because of the way Greek politicians have ruined the Greek economy with short-sighted
policies. Greece’s membership of the euro forces it to fix the economy, if they had their
own currency they wouldn’t have to,” he said. Despite the Greek problems, Sundin
argued that the Liberal Party is in favour of supporting the bailout plan as ”the other
option of a bankruptcy would be worse for Sweden, the EU, and the world”. Source
[Sweden] Sven-Erik Österberg, Social Democrat Party member of the parliamentary
advisory council on foreign affairs underlined the party's position that it is important for
Sweden to join EU partners to pull together to help out [Greece]. "If it's necessary, we
should, because it's important for the whole situation in the EU to stabilize Greece.
Otherwise it can spread to Ireland, Estonia, Spain, Portugal, and the UK, especially after
the election, as we don't know what the new government will do yet." Source
Ulf Holm, the Swedish Green Party member parliamentary committee on European
affairs: ”I think it is necessary to help Greece out because the crisis can affect other
countries outside of Europe and it’s necessary to stop that from happening.” Source
[Sweden] Emma Henriksson, Christian Democrat member of parliament: "But if we are
asked to support Greece, we should consider it, regardless of whether we are in the euro.
We are dependent on one another, so you need to be prepared to join in." Staffan
Danielsson, Centre Party member of the parliamentary committee on EU affairs: "Euro
countries should take responsibility for their own predicament. If the situation would
deteriorate then of course Sweden could be harmed but we are satisfied that the current
measures will be sufficient to avert further problems." Source
Finland’s Social Democratic Party indicated already on Tuesday that they would vote
against a proposal to grant Greece EUR 1.6 billion in loans to Greece. Source
[Germany] SPD parliamentary whip Thomas Oppermann told ARD television there were
still too many open questions about the plan, which parliament is due to begin debating
next week. "What happens if other countries who get aid from the package drop out? Will
the German share increase then?" he said. Source
Frank Schaeffler of Germany’s Free Democratic Party said that Greece must intensify its
austerity measures "considerably" or leave the euro zone. Source
[Malta] Opposition MP and Shadow Minister for Finance Charles Mangion said that
bailing Greece out was necessary to safeguard the Euro, even though Greece’s situation is
self-inflicted, as it never monitored its finances over the course of years and showered the
public with deceit. Greece had even lied when giving the EU its financial estimates prior
to adopting the Euro, said Dr Mangion. Nevertheless, said Dr Mangion, the Opposition
approves in assisting Greece out of its trouble as it shows European solidarity, and in
Malta’s case this solidarity is highly significant considering Malta’s size and financial
restraints. Source
Reviving momentum on regulation alongside the backstop for the euro “is important for
us,” Hans-Peter Friedrich, the parliamentary leader of Merkel’s CSU Bavarian allies, said
today in a phone interview. He called for bans on uncovered short- selling and naked
credit-default swaps as well as a financial transaction tax to curb investors’ “risk
appetite.” “Of course we back the [plan to aid Greece]” he said. “But we’re demanding
the government present a clear roadmap” for progress on financial regulation, including
efforts to persuade the U.S. and the U.K. to join. “All of this has to be launched now.”
“I’m very skeptical,” Georg Nuesslein, a CSU lawmaker, said in a phone interview. “But
despite my skepticism, there’s probably no alternative to the package.” Source