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| Europe |
| Spain says ready to contribute to EU's bailout plan to Ireland |
| 2010-11-18 |
| (KUNA) -- Spain said Wednesday it was ready to contribute to a bailout plan to salvage Irish banks, a move that might be taken by the European Union (EU) to maintain economic stability in the eurozone. Minister of Economy and Finance Elena Salgado Mendez said sharp fluctuations in stock markets would not benefit anyone. She was speaking to Spanish media on sidelines of meetings of EU's Finance Ministers in Brussels, Belgium. Priorities of Spain and other EU countries are stability of eurozone, overcoming impacts of global economic crisis and pushing economic growth in the euro area, she said. Ireland is a responsible country capable of taking the right decisions to reform its banking sector, said Mendez. Dublin is also aware of the size of difficulties and complexities that might affect euro-zone economy if the inappropriate measures were taken, she added. Mendez said Ireland's debts crisis was not directly affecting Spain because the austerity measures adopted by Madrid coupled with economic reforms have started to revive economy, slash debts and reduce budget deficit. EU Finance Ministers were discussing on debt crisis in Ireland amid concerns that it will be unable to pay the cost of rescuing its banks. The Irish government anticipated deficit to reach 32 percent of GDP this year, 10 times higher than the criteria set by the Maastricht treaty, which regulate the eurozone. |
| Posted by:Fred |