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Finland sticks to its stance on collateral deal with Greece

Aug 25, 2011, 10:15 GMT

Helsinki - Finland has not changed its stance on demanding collateral from Greece to guarantee its share of the bailout for the cash-strapped eurozone member, Finance Minister Jutta Urpilainen said Thursday as talks to find a compromise continued.

Urpilainen told reporters that the Finnish demands should come as 'no surprise' to other eurozone members since they had been raised and entered into the minutes at two European Union meetings.

The finance minister's remarks were made in connection with a meeting of members of parliament of her Social Democratic party in Pori, western Finland.

'It is the joint task of all eurozone members to draft a model that everyone can accept. We are discussing this daily,' Urpilainen said, adding the details could not be discussed in the media.

A week ago, Urpilainen said Greece had agreed to transfer an undisclosed sum to the Finnish state. That sum is to be invested in low-risk, long-term securities that would guarantee the bailout loan.

Since then, officials in the Netherlands, Austria, Slovakia and Slovenia said they were tempted to demand similar guarantees, potentially delaying proceedings to approve the bailout package.

On Wednesday, Finnish Prime Minister Jyrki Katainen stressed that Finland did not wish to harm other eurozone members or the euro currency with its demand for collateral guarantees.

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