Share

Greece 'won't get one cent'

Berlin - The German government will "not give one cent" to help Greece out of its debt crisis, Economy Minister Rainer Bruederle said on Friday as the two countries' leaders prepared to meet in Berlin.

Greek Prime Minister George "Papandreou said that he didn't want one cent - in any case the German government will not give one cent," Bruederle said on the sidelines of a meeting with European Union industry commissioner Antonio Tajani.

The remarks came ahead of talks later on Friday between Papandreou and Chancellor Angela Merkel amid rising tension between the two countries.

Bruederle was referring to comments by Papandreou in Germany's Frankfurter Allgemeine newspaper published on Friday.

"We are not asking for money," Papandreou said.

"We need support from the European Union and our partners to obtain credit on the markets at better conditions. If we do not receive this aid, we will not be able to enact the changes we foresee."

Greece successfully raised an urgently needed €5.0bn with a bond issue on Thursday, but had to pay an interest rate significantly above 6.0%, or about twice the rate at which Germany can borrow.

Papandreou has made clear that he is looking for some form of expression of "solidarity" which would enable Greece to share some of the credibility attached to other eurozone governments, notably Germany, so that future bonds can be issued at a lower rate.

Germany, Europe's biggest economy, is widely seen as the most likely candidate to help prevent what would be a disastrous Greek default but there is strong opposition in the country against such a move.

Greek politicians have bristled over insulting headlines in the German press and editorials denouncing the corruption there, although Papandreou himself has acknowledged the problem.

Media reports have suggested that for all the stern words, Germany is drawing up contingency plans behind the scenes including either bilateral aid, joint European action or help from the International Monetary Fund.

Merkel welcomed Greece's announcement on Wednesday of a package of austerity measures as "an important step" towards cutting its budget deficit and restoring trust in Athens and the euro.

- AFP

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.88
+0.3%
Rand - Pound
23.82
+0.4%
Rand - Euro
20.38
+0.3%
Rand - Aus dollar
12.30
+0.3%
Rand - Yen
0.12
+0.3%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders