Wait for full Greece report before giving more aid: Germany

12th October 2011, Comments 0 comments

Germany said Wednesday that Europe should wait for a full report on the Greek economy before deciding whether to hand out billions of euros in aid that Greece desperately needs to pay the bills.

Auditors from the EU and the International Monetary Fund ended their assessment of Greek reform efforts on Tuesday, saying they had reached a "staff-level" accord on loans needed to stave off bankruptcy.

But a spokesman for German Finance Minister Wolfgang Schaeuble insisted: "What matters is the complete report, drawn up properly, so that it can be analysed.

"We are waiting for the report, we will analyse it and then we will take a decision on the sixth tranche" of aid, worth eight billion euros ($11 billion), spokesman Martin Kotthaus said.

Berlin welcomed the fact that the auditors had concluded their mission but said their comments were "only a statement."

Kotthaus also said there should be enough information in the full report to decide on how a second bailout package for Greece should be organised.

Private investors have agreed to accept a write-down of 21 percent of their holdings of Greek debt but speculation has grown in recent days that they will have to accept greater losses, perhaps up to 60 percent.

"I assume there will be enough material in the report to enable us to see how a second Greek programme might look," said Kotthaus.

© 2011 AFP

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