No EU Aid to Greece, Labor Unions End One more Day of Protests

Greece needs solidarity from Europe, not money: Greek PM

BUDAPEST, March 16, 2010 (Xinhua) --

Greek Prime Minister George Papandreou said on Tuesday that Greece needed support from Europe rather than financial aid.

Speaking in Budapest, Hungary, after meeting Hungarian Prime Minister Gordon Bajnai, Papandreou said that Greece was taking necessary measures to overcome its current economic problems but needed "breathing space" so that the measures could have "oxygen to survive."

Greece needed immediate help from the EU, Papandreou said, but he stressed that "we are not asking for money, rather a safety net for our reform package." The Greek measures aim to cut its budget deficit from 12.7 percent to 8.7 percent in 2011, and 4 percent by 2012.

He proposed an EU instrument of "solidarity" that would intervene in the markets so that Greece could borrow at rates similar to other countries in the eurozone and not too expensive for the country in the medium or long-term.

Papandreou said that beyond the short-term, Europe needs new financial and economic architecture such as a European Monetary Fund or eurobond loan facilities to combat financial and market instability.

On Monday, finance ministers of the Eurogroup endorsed the austerity measures taken by the Greek government and agreed in theory to help Greece if needed but offered no bailout plan.

Hungarian Prime Minister Bajnai said, "Europe should follow an all-for-one and one-for-all philosophy, and show solidarity to Greece as it showed to Hungary in 2008."

Hungary received a 20 billion euros standby loan from the IMF, World Bank and the EU in 2008 which, Bajnai said, "built a dam against speculation and restored confidence in the country." Hungary's state budget deficit is now one of the lowest in the European Union.

The Hungarian crisis management model of austerity measures showed that "help is sometimes required from outside, although each country should also do its own homework and show individual responsibility," Bajnai said.

Greek labor unions end one more day of protests

ATHENS, March 16, 2010 (Xinhua) --

Hundreds of Greeks gathered in central Athens on Tuesday evening and ended one more day of protests, vowing for more action against austerity measures in the following days.

The protest organized by the umbrella union of public servants ADEDY which has already called for a similar protest next Tuesday and more strikes, ended with minor clashes between protesters and police which used teargas. No injuries or serious damages were reported.

"We are not here to clash with policemen, but with the idea that measures which target people of low incomes will get us out of the crisis," Stamatis Papadatos, a 43-year-old teacher who took part in the rally told Xinhua.

"I intend to stay out on the streets for weeks and months to come, distributing banners to people, until the government takes the measures back. Otherwise, I will have a darker future," Erofili, a university student added.

"We will not pay for their crisis. We will fight for citizens' needs, not their profits," shouted Manos Xenidis, a 53-year-old employee at the public power company DEY, member of the labor union which called a nationwide 48- hour strike on Tuesday and Wednesday this week.

The strike has led to blackout in parts of Greece. The union objects to cutbacks on salaries and allowances and reforms on the pension system.

Xenidis who counted the years to retirement at 63 years and now will probably have to work for two more years, as well as Aggeliki Fatourou, a teacher, are determined to continue "until the end, until tax evaders pay and social justice prevails."

"We cannot stand still when our government gets congratulations from abroad on the harsh measures announced against poor people," Ilias Vretakos said.

Besides employees at the public power company, doctors working in public hospitals are also on strike since Tuesday morning and hospitals run on emergency staff, while taxi drivers and owners of gas stations have called a 24-hour strike on Thursday, when the cabinet is expected to discuss the reform of the tax system.

The union of gas owners which rejects the latest hikes on fuel tax, which has led to a 15 percent drop in demand, as they claim, warns with more strikes during the Easter holidays on early April.

Editor: Mu Xuequan

Euro group sees no need of financial aid to Greece

BRUSSELS, March 15, 2010 (Xinhua) --

Finance ministers of the Eurozone Monday insisted that there is no need to offer financial aid to Greece right now, but said that the group is considering a mechanism to help the country in the case of need.

At a press conference held after the monthly meeting of the ministers, Eurogroup Chairman Jean-Claude Juncker said that the measures announced by the Greek government are sufficient to safeguard the 2010 budgetary targets.

"We think the consolidation measures are an important contribution to the improvement of the fiscal situation in Greece, " he said.

Juncker said that the ministers are convinced that the measures announced by the Greek government are "credible" and therefore there is no need to offer financial aid to the country.

At the press conference, Commissioner for Economic and Monetary Affairs of the European Union (EU) Olli Rehn also said: "The Greek government have taken bold additional measures, which mean that Greece is now on track to reach 4 percent deficit reduction."

However, Juncker reiterated that eurozone member states will take determined and coordinated action, if needed, to help Greece as decided at the informal summit of the European Council in February.

As to how to help Greece, Juncker said that the final decision would be taken by the European Council.

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