Related News
EU may relax loan repayment by Greece
Source: Agencies |
December 10, 2010, Friday
|
Print Edition
Print Edition
THE European Union will likely decide early next year on extending Greece's repayment period for the bailout loans that saved the country from default, top EU economic official Olli Rehn said yesterday.
Greece is in negotiations to get more time to repay loans worth up to 110 billion euros (US$145 billion) from the EU and International Monetary Fund. EU governments had said they were considering pushing back the start of repayments by 4 1/2 years past the current 2013 date.
Rehn said the European Commission was examining the date extension "following the decision to do so by the EU finance ministers."
"We stand ready to make the concrete proposal early next year, and I'm certain that it will receive the support of EU finance ministers," the commissioner said after meeting with Greek Finance Minister George Papaconstantinou.
Speaking at a conference outside Athens earlier in the day, Rehn said that the extension "will mean that we will be able to go beyond and stabilize (Greece's) debt dynamics and overcome the hump in debt repayment, especially in 2014 and 2015."
"This will certainly reinforce stability and confidence in the Greek economic reform program," he said.
On Tuesday, IMF Managing Director Dominique Strauss-Kahn said on a visit to Athens that he supported the extension without imposing additional demands for economic austerity.
The EU is seeking to toughen fiscal rules for countries using the euro to prevent a repeat of the crises seen in Greece and Ireland and contain the debt market turmoil.
Rehn said the EU was determined to see the reforms through, adding that sanctions for overspending would inevitably be part of a future enforcement mechanism.
Greece is in negotiations to get more time to repay loans worth up to 110 billion euros (US$145 billion) from the EU and International Monetary Fund. EU governments had said they were considering pushing back the start of repayments by 4 1/2 years past the current 2013 date.
Rehn said the European Commission was examining the date extension "following the decision to do so by the EU finance ministers."
"We stand ready to make the concrete proposal early next year, and I'm certain that it will receive the support of EU finance ministers," the commissioner said after meeting with Greek Finance Minister George Papaconstantinou.
Speaking at a conference outside Athens earlier in the day, Rehn said that the extension "will mean that we will be able to go beyond and stabilize (Greece's) debt dynamics and overcome the hump in debt repayment, especially in 2014 and 2015."
"This will certainly reinforce stability and confidence in the Greek economic reform program," he said.
On Tuesday, IMF Managing Director Dominique Strauss-Kahn said on a visit to Athens that he supported the extension without imposing additional demands for economic austerity.
The EU is seeking to toughen fiscal rules for countries using the euro to prevent a repeat of the crises seen in Greece and Ireland and contain the debt market turmoil.
Rehn said the EU was determined to see the reforms through, adding that sanctions for overspending would inevitably be part of a future enforcement mechanism.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
