Europe News

Schaeuble rules out further boost to bailout fund

Sep 29, 2011, 10:34 GMT

Berlin - German Finance Minister Wolfgang Schaeuble on Thursday ruled out further moves to boost the eurozone bailout fund and said a final decision on whether Greece will receive the next financial instalment was still open.

Speaking in parliament in Berlin, Schaeuble also said that finance ministers from the 17-member eurozone would meet on October 13 to consider signing off on a second 8-billion-euro (11 billion dollars) financial lifeline for Greece.

But he said: 'The decision was open,' adding that ministers were waiting for a new audit by the European Union, the European Central Bank and the International Monetary Fund on Greece's progress in cutting its high debt-and-deficit levels.

Schaeuble was speaking in parliamentary debate on a package of measures aimed bolstering the firepower of the current rescue mechanism, the European Financial Stability Facility, (EFSF). The changes were approved by eurozone leaders in July.

The German finance minister once again insisted that the EFSF bailout fund would not be leveraged once the parliamentary vote on the July agreement was taken. 'It will not increased,' he said. 'It is not open to question.'

Germany's new guarantees for the EFSF are to be restricted to 211 billion euros, he said.