Second Greece rescue fudge by ministers irritates opposition MPs

Opposition MPs have reacted with irritation to the news that the finance ministry has again given parliament misleading information about the new EU support package for Greece, website nu.nl reports on Monday.


Earlier it emerged finance minister Jan Kees de Jager had kept quiet about a loan guarantee included in the package because of fears about the financial markets’ reaction.
The omission concerns a €35bn guarantee from eurozone countries to the European central bank. This guarantee would be needed if Greece is hit by a selective default and the central bank can no longer accept Greek state debt as surety, the minister said in a briefing on Sunday evening.

Barroso

The minister said he had paid ‘limited attention’ to the guarantee in his briefing of July 25 because of concerns about the reaction of the financial markets. Commission chairman Manuel Barroso, European council chairman Herman van Rompuy and other EU leaders had taken the same line, he said.
This is the second time there has been government misinformation about the size of the rescue deal for Greece.
As soon as the deal was signed last month, prime minister Mark Rutte insisted the total package was €109bn, including €50bn from the banks. De Jager was later forced to correct Rutte, arguing the package was very complicated.

Debate

At the time, the SP demanded parliament be recalled to debate the error. Now GroenLinks has added its support to the call.
Nevertheless, D66 and Labour have opted to wait until a formal briefing by finance ministry officials has been completed rather than demand parliament be recalled from its summer break.
D66 MP Wouter Koolmees said the cabinet’s performance has been ‘poor and amateurish’ while Labour’s Ed Groot said ministers had been ‘very clumsy’ in their explanations.

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