Eurogroup meeting: extracts from the arrivals and doorsteps
Lieu: Luxembourg (town), Luxembourg - Court of Justice of the EC
End production: 20/06/2013 First transmission: 20/06/2013
On 20 June, Eurozone Finance Ministers are gathering to discuss the Banking Union and the economic situation of Cyprus.
Ministers are expected to agree on a draft framework for bank recovery and resolution - a key element of the future banking union - in order to allow negotiations to start with the European Parliament. The Council will be called to agree a general approach on a draft directive establishing a framework for the recovery and resolution of credit institutions and investment firms.
An agreement would enable the presidency to start negotiations with the European Parliament with the aim of adopting the directive at first reading.
Regarding Cyprus, Eurogroup secured a 10-billion-euro bailout in April to avert bankruptcy. But Cypriot President Nicos Anastasiades has requested moderations so that the Bank of Cyprus - the country's largest lender - can be safeguarded. The eurozone's 17 ministers will discuss what their response should be.
Only the original language version is authentic and it prevails in the event of its differing from the translated versions.
||SOUNDBITE (in Dutch) Frans Weekers, Dutch State Secretary for Finance, saying that: We still have to discuss with Troika and the Eurogroup the brief that we received from Cyprus. I think we developed a good program for Cyprus but we still have to discuss the issue.
||SOUNDBITE (in German) Wolfgang Schäuble, German Federal Minister for Finance, saying that: I hope everyone reaches an agreement in their parliaments, like my colleauge Von Der Leyen said, we want to fight youth unemployment.
||Jutta Urpilainen, Finnish Minister for Finance
||SOUNDBITE (in French) Pierre Moscovici, French Minister for Finance, Economic Affairs and Industry, saying that: Direct recapitalization of banks; it is about helping banks without asking the States which are already into debt. We have to think about the main features and France wishes to adopt these measures in order to have direct recapitalization which will avoid to be a burden on depositors.
||Pierre Moscovici leaving
||SOUNDBITE (in German) Maria Fekter, Federal Minister for Finance of Austria, saying that:We work intensively towards the establishment of a banking union. This work contains three steps: firstly, the common supervisory mechanism, we want it to be functional by next year.
||SOUNDBITE (in English) Olli Rehn, Member of the EC in charge of Economic and Monetary Affairs: Now it is essential to maintain the momentum in building the banking Union in all its agreed elements. And I expect that we can make serious progress on the rules for direct recapitalization of the banks on the Euro area.
||Ioannis Stournaras, Greek Minister for Finance
||Jeroen Dijsselbloem, President of the Eurogroup
||SOUNDBITE (in Dutch) Jeroen Dijsselbloem: We will focus on Cyprus situation and we will discuss it with Troika.
||SOUNDBITE (in English) Michael Noonan, Irish Minister for Finance: There is a draft paper on how the ESM will operate and there are a number of outstanding issues that have not been agreed yet, there are for discussion. And one of those is whether the ESM will be able in certain circumstances to provide capital retrospectively to banks, it is in the draft document, we will speak about it and see how it goes.