Prime Minister George Papandreou

In a press conference shortly after the end of the EU Summit meeting in Brussels, Papandreou clarified that a general framework of a permanent support mechanism was presented, and pointed out that its operation will be specialised, based on a European Commission proposal after consultations with EU member-states.

 

Referring to Greek recommendations as regards the future support mechanism, Papandreou stressed that it will have to be prepared in a way that will contribute to Europe's development course to overcome the existing inequalities between the member-states.

 

"When a few months ago Greece was caught in the vortex of the economic crisis, we had suggested the creation of a support mechanism to intervene dynamically in cases of market speculation practices targeting a country. We pointed to the creation of a mechanism to undertake the unobstructed flow of funds and loans when interest rates make borrowing for a country impossible. We fought and a temporary mechanism was created," Papandreou stressed.

 

The prime minister characterised as "unacceptable" the EU Presidency proposal, which suggested that a country with high deficits be deprived of its right to vote in the Councils of Ministers, stressing that Greece was clearly against it.

 

"The fight we gave was not just Greek, but a European fight as well," he said, pointing out that the suspension of the right to vote would mean for a country that it will not have a say on important issues such as security, national defence, common agricultural policy, regional policy etc.

 

"This proposal deeply hurts the democratic right of the EU states; and the EU has a tradition on democracy which we do not want to undermine," he added.

 

As regards the discussion of the EU 27 on the prevention of future economic crises, Papandreou stressed that "counterincentives" were decided for countries with high fiscal deficits as a result of bad practices.

 

"From now on, countries will have to be judged by their actions and not for their past," he stressed.

 

Responding to a question on the likelihood of snap elections in Greece, Papandreou said he is "determined to go ahead, firmly and consistently, with the major changes that will be beneficial for the people and the country."

 

He pointed out that "the rising spreads showed how vulnerable the country is to moves that can be interpreted as instability."

 

Papandreou concluded that his intention was to "give a boost to a responsible vote in the face of an existing crisis which the opposition often refuses to admit." (ANA)