LUXEMBOURG Oct 8 Euro zone finance ministers
gathered in Luxembourg on Monday to discuss Spain, Greece and
other issues related to the region's debt crisis, including what
needs to be done to establish a single supervisory authority for
euro zone banks.
Following are comments from the ministers and other senior
officials as they arrived for the talks:
LUXEMBOURG FINANCE MINISTER LUC FRIEDEN
"Spain doesn't need any help at this moment. They didn't ask
for any help.I think we should deal with such a request when it
comes but so far the Spanish government is undertaking reforms
which go in the right direction.
ASKED WHETHER GREECE NEEDS MORE TIME OR MONEY
"Greece is doing a lot of efforts. It's very difficult down
there. And I think if we need to give them additional time, if
that does not require a lot of additional money, we should
support Greece. This is not a one-way street. It requires that
greece is undertaking and continues to undertake the reforms
which the government is committed to.
AUSTRIAN FINANCE MINISTER MARIA FEKTER
"We like our currency, the euro, and we will not only
protect it through the central bank but we will also protect the
euro zone, the states when they get into difficulty, through
these instruments (ESM).
"We have come a long way towards stability but we are not
out yet over our problems. We must stabilise the banks in spain,
see that greece fulfills its conditions. There will likely be an
application from cyprus. Slovenia has difficulties. We must see
that in europe the debts don't get over our heads.
"We have the banking application from Spain. It has a
potential capacity of 100 billion euros. We are likely to hear
today that this 100 billion euros is not all needed, that Spain
needs significantly less."
GERMAN FINANCE MINISTER WOLFGANG SCHAEUBLE
"Spain needs no aid programme. Spain is doing everything
necessary, in fiscal policy, in structural reforms. Spain has a
problem with its banks as a consequence of the real estate
bubble of the past years.
"That's why Spain is getting help with banking
recapitalisation. And of course Spain, like other countries, is
suffering from the problem of contagion, speculation on
financial markets... but Spain needs no aid programme. That's
what the Spanish government says again and again."
"The chancellor is not the troika (EU/ECB and IMF
inspectors). The chancellor is travelling to greece just like
she travels to many other european countries and just like the
greek prime minister came to Berlin.
"We have intensive bilateral cooperation to help Greece in
building a competitive economy.
"Germany is doing whatever we can do to help Greece on its
difficult path. But the troika has a job of its own. It has to
report whether Greece is fulfilling the obligations from the
second aid programme and if the troika can report that then the
conditions for the disbursment of the next tranche are given.
But that's not on the agenda of the visit in Athens."
ON DIRECT BANKING RECAPITALISATION FROM THE ESM
"The agreements will be stuck to. That's what we do with
Greece, with Portugal and of course as with the agreement of the
heads of state and government of end-June that says that once a
European bank supervision has been implemented that then as part
of the further conditions direct bank recapitalisation is an
option but further conditions means an application by the member
state in question, an adjustment programme that is agreed with
the member state and we will talk about implementing a european
banking supervision tomorrow. That's harder done than agreed."
(Reporting by Annika Breidthardt, John O'Donnell, Eva Kuehnen,
Robin Emmott and Jan Strupczewski in Luxembourg; editing by Luke