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Eurozone bailout delays boost eurosceptics: EU budget chief

07 September 2011, 19:21 CET
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(KRYNICA) - Stalling or imposing extra conditions on the eurozone's rescue fund risk provoking a eurosceptic backlash, the EU budget commissioner warned Wednesday, in the wake of moves by Finland and Slovakia.

"I have a lot of concerns about Finland and Slovakia," Janusz Lewandowski told AFP Wednesday speaking on the sidelines of the Krynica Economic Forum, an annual event in southern Poland dubbed the "Davos of the East".

"If one of the members of the euro group is starting to put other conditions on what was agreed or delaying (the package) that is encouraging to eurosceptic politicians in the other countries to go in the same direction," Lewandowski said.

"For many countries there was a trust in the elites conducting them towards more Europe, now that sort of credibility and trust has disappeared and it is much easier to do politics against Europe," Lewandoski warned.

Slovakia's parliamentary speaker Richard Sulik said Tuesday his party, part of the ruling coalition, would try hard to delay Bratislava's vote on the current European Financial Stability Facility -- the rescue fund -- and its post-2013 successor, the European Stability Mechanism.

The increase in the rescue fund, giving it additional tools, and the creation of the ESM must be ratified by all 27 EU countries.

Sulik, a staunch opponent of bailing out indebted eurozone members, called the rescue fund "a tool to produce more debt".

"It is not possible to solve the crisis with more debt," he told AFP in an interview on Tuesday.

"Greece has to declare bankruptcy and Italy has to start saving money," he added.

Meanwhile, last week Finland said it would stick to demands for collateral in exchange for backing Greece's debt rescue package during negotiations with Germany and the Netherlands.

"I think that now both being members of the eurozone they should indicate in practical terms that this is not only about umbrella security but also about some obligations," Lewandowski insisted, admitting the packages were only buying Athens time.

"We are still giving the chance to the Greeks as (German Finance Minister Wolfgang) Schaeuble has expressed, frankly we are buying time for the Greeks." "They should do their homework not yet done," he added.

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