DUBLIN, Sept 1 Finland's controversial bilateral
deal with Greece has been axed and an alternative agreement is
being hammered out, Ireland's finance minister said on Thursday.
"(The collateral deal between) Finland and Greece I
understand that is off the table now. There are other
arrangements being made to compensate," Michael Noonan told a
financial parliamentary committee.
Finland reached a bilateral deal with Greece earlier this
month on collateral in exchange for loans, sparking requests
from some other euro zone countries for a similar arrangement.
Austria criticized the deal, saying all countries should be
treated in the same way.
Noonan also said Dublin may have to downgrade its growth
forecasts for 2012 when it releases its pre-budget outlook in
"It looks now like we will have to revise the projected
growth figure for 2012," he said. "Our figure for 2012 is 2.5
(percent), but with the international situation changing we may
have to mark that down, but we are not sure yet."
(Reporting by Carmel Crimmins; Editing by Ruth Pitchford)