The parliamentary committee for finance on Thursday, June 30, rejected a proposal to limit the mandate of Finance Minister Ivan Mikloš (Slovak Democratic and Christian Union (SDKÚ)) in talks about a new EU loan to Greece, the TASR newswire wrote.
The proposal, submitted by Freedom and Solidarity (SaS), one of the SDKÚ's partners in the ruling coalition, was backed only by SaS committee members, while the rest of the coalition abstained. The final decision on Mikloš's mandate should be made on Friday, July 1, after the matter is debated in parliament.
SaS wants parliament to ensure that Mikloš agrees to the new loan for Greece, which is due to be discussed in Brussels shortly, only if five conditions are met: 1) participation of the private sector, 2) participation of the International Monetary Fund, 3) privatisation of Greek state property, 4) provision of collateral, and 5) Greece's political commitment to the plan. The first condition is the main bone of contention. SaS wants to reduce the nominal value of bonds owned by Greece's creditors, which would automatically lead to the country's default. Mikloš says that such a condition cannot be negotiated in Brussels.
Compiled by Zuzana Vilikovská from press reports
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1. Jul 2011 at 10:00