
EU Comm: European Monetary Fund Not For Greek Aid
BRUSSELS (MNI) - European policymakers are making a distinction between the creation of a framework to ensure stability in the single currency area and any framework that it might use to support debt-ridden Greece, a European Commission spokesman said on Wednesday.
His comments were made to reporters in response to a statement Tuesday by European Commission President Jose Manuel Barroso, who said the EU's executive arm "has been actively working with euro area member states to design a mechanism which Greece could use in case of need."
Those comments came as the Commission confirmed it is "ready to propose" a stability framework for the Eurozone, which would likely take the form of a European Monetary Fund, with a similar structure to the International Monetary Fund.
Economic and Monetary Affairs Spokesman Amadeu Tardio said "there is a distinction" between any framework being designed for Eurozone stability and "what we are discussing on Greece, which requires answers today."
He stressed that the solution for Greece was only being designed "so that we are prepared if it becomes necessary," and would only be used "if there is a need" and if the southern European country asks for it.
"At the moment there is no request," he said.
Tardio said the Commission thought "the necessary measures have been taken" by Greece.
"There is a Greek solution to the Greek problem," he said.
Tardio also declined to comment on speculation that a proposal to tighten budgetary surveillance currently being prepared by the Commission advocated tax harmonisation at the Eurozone level.

