Brussels, 23/06/2011 (Agence Europe) - European conservative leaders urged Greece on Thursday 23 June to press ahead with tough reform measures needed to secure an international bailout, as the Greek opposition leader spoke out against Athens' plans. Amid the gloom, as Greece's debt woes undermine confidence in the euro single currency zone, Swedish Prime Minister Fredrik Reinfeldt tried to sound an upbeat note.
“I think it's going in the right direction. Basically there is no alternative, but increasing competitiveness in Greece and in any other countries that are in the same condition”, he told reporters at a traditional pre-summit meeting of the European People's Party bloc. Reinfeldt said Sweden had been through tough economic times in the past, but found that things improved surprisingly quickly when reforms began to take effect. “Once you start reforming, the economy picks up quicker than you think. So that is maybe the note of hope that we can give”, he said.
The conservative leaders were expected to put pressure on Greek opposition leader Antonis Samaras to get behind the reform plans of embattled Prime Minister George Papandreou. Chancellor Angela Merkel said that no decisions would be made on Greece at the 23-24 EU summit because the Greek parliament must still vote on the reform package next week. But Samaras appeared defiant as he arrived at the EPP talks, telling reporters: “The current policy mix implemented by the Socialist government calls for more taxes to an economy in an unprecedented depression. This has created obvious problems”, he said. But he acknowledged that Greece does “need corrective measures so as to make sure that the Greek economy recovers, and pays back its debt”. Athens has promised a €28 billion austerity plan, including tax increases and spending cuts, for the five years till 2015 to secure a €12 billion tranche of its international bailout. (LoC)