Eurogroup arrivals: Greece enters lions den of EZ FinMins who lack TRUST (vids)

Greece vs. other FinMins: They like the proposals but feel they should beware Greeks bearing proposals that are too good to be true after last week’s U-turn

Here are some statements made by officials as they arrived at the Eurogroup meeting on Greece. Most pointed to lack of trust being a huge barrier in talks. There were mixed signals regarding the possibility of debt restructuring with German FinMin Wolfgang Schaeuble dismissing such a possibility as going against EU treaties. ‘Trust’ was the word most mentioned by arrivals who eye the Greek proposals with suspicion. The government’s credibility has dissipated as a result of delays and U-turns resulting in the Greek offer being viewed as… a Trojan horse?

* German FinMin Wolfgang Schaeuble said that the extraordinarily difficult negotiations lie ahead. “We are not ready to accept calculations that are not believable,” he said, pointing out that Greek financing gaps are beyond anything talked about in the past. He said that debt relief is not possible according to EU treaties.

* Luxembourg FinMin Pierre Gramegna “What can Greece do about lack of trust?” He points to steps needed to translate proposals to legislative initiatives. He said that he was prepared to discuss debt restructuring though this may not be agreed.

* Dutch FinMin Jeroen Dijsselbloem – We are not there yet in substance. “Can the Greek government be trusted to do what they are promising to implement in the coming weeks, months and years?” he said. To get back trust the Greeks will need to listen and show strong commitment.

* Dutch Finance State Secretary Eric Wiebes: The Greeks made “a step forward” but at the same time the institutions see a number of things “missing”. “At the same time many governments, mine too have serious concerns about the commitment of the Greek government. These are the same proposals that were fiercely rejected less than a week ago.”

* French FinMin Michel Sapin that Figaro states will meet with Greek FinMin Euclid Tsakalotos before the meeting, said the Greek government has shown courage and determination in presenting in proposals to parliament and these proposals are seen as a good foundation for discussions. Sapin said France wants a “global and durable” deal for Greece. “Eurogroup needs to show that, if trust is there, we’re capable of offering support,” he said, adding that talking about debt should not be taboo.

* Slovenian FinMin Dusan Mramor – “We will see. There are still open questions, but there are possibilities.”

* Slovakia’s FinMin Peter Kazimir says debt sustainability a “huge problem”.

* Italian FinMin Pier Carlo Padoan said that purpose of the meeting is to kick off negotiations with open minds. He said that the beginning of negotiations, not striking a deal are the issues on the table.

* Malta’s Finance Minister Edward Scicluna – He said the “core of the discussion” would be about solving contradictions of a government that recently rejected proposals it is now agreeing to at a level beyond what was being discussed. SYRIZA was elected with a platform that goes against these proposals and even held a polar referendum to vote against this type of package. He wants reassurances and believes that a “carrot and stick framework” needs to be enforced for Greece to achieve the results being asked. “An agreement needs to be reached today!”


* Cypriot Finance Minister Harris Georgiades – “These months were catastrophic for Greece,” he said, adding that the Cypriot position is that Greece should continue to remain at the core of Europe and is ready to support Greece as this is the only way to create prospects for the country rather than through “populism, slogans and extremism. We need to learn to operate less using emotion and more with logic when making tough decisions.”


* Irish FinMin Michael Noonan – He said he needs more detail before the . Greek paper is silent on banking. “Sustainability depends a lot on whether the program is sufficient to cause the Greek economy to grow and create jobs,” he said. “I think that extra measures are probably needed there.” He said it was hard to stimulate the economy when you’re doing constructive work. “Trust obviously was what the Irish program, the Spanish program and the Portuguese program were built on and I think trust is now being rebuilt with Greece.” He added it would have been “better if what is happening now would have happened last February because of great damage has been done.”

* Euro-Social Dialogue Commissioner Valdis Dombrovskis – “First of all, it must be said we are making progress and the Greek government proposal is along the lines of the institutions proposal before the referendum and clearly we see there is willingness from greek side to see an agreement. The vote showed that there is parliamentary majority to move ahead. Still many issues and many concerns need to be addressed.” * Dutch Finance Minister Eric Wiebes: The Greeks made “a step forward” but at the same time the institutions see a number of things “missing”. “At the same time many governments, mine too have serious concerns about the commitment of the Greek government. These are the same proposals that were fiercely rejected less than a week ago.”

* Austrian Chancellor Hans Jorg Schelling said that the reforms are a “positive surprise” from Greece* Upon his arrival to the Eurogroup European Economic and Monetary Affairs Commissioner Pierre Moscovici said the Greek government had taken a stride towards agreement but still needed to implement reforms.

* IMF Managing Director Christine Lagarde said “a lot” more progress was necessary.

SAP

HERE