BRATISLAVA, February 21, (WEBNOVINY) – Brussels’ talks with approval of the new bailout for Greece were very successful for Slovakia, according to Finance Minister Ivan Miklos. He explained that additional measures to help ensure the original requirements for the assistance to Greece will cost Slovakia almost nothing. Slovakia’s share in the Greek bailout will be 1.06 percent of EUR 109 billion, minus the contribution of the International Monetary Fund, pending the IMF Council approval. “I believe that outcomes of these negotiations will help to calm the situation and protect our common currency,” Miklos told Tuesday’s news conference upon his return from Brussels.
In order to ensure conditions agreed upon last year by heads of states and prime ministers, Eurogroup finance ministers had to look for additional measures during the night talks. The original conditions are that the help of the public sector does not exceed EUR 130 billion and that Greek public debt drops to 120 percent of GDP by 2020. As a result, the private sector will waive 53.5 percent of its principal and accept lower profits on Greek bonds, while the public sector will forgo profits on Greek bonds held by eurozone central banks and accept haircuts on the first loan provided by eurozone members to Greece based on bilateral agreements.
“Slovakia de facto does not have to participate in these measures. We are not part of bilateral loans and the National Bank of Slovakia does not hold Greek bonds. All in all, it is a good solution also for us,” Miklos emphasized. According to him, all requirements voiced by Slovakia were pushed through. In particular, Slovakia insisted on a strong participation of the private sector, a consensus of Greek parliamentary parties on fulfilling the program, IMF involvement, commitments concerning privatization and enhanced monitoring.
SITA