SLOVAKIA: Slovaks react a morning after Slovakia stalls the expansion of the euro bailout fund and the Radicova government falls

Record ID: 830756

  • Title: SLOVAKIA: Slovaks react a morning after Slovakia stalls the expansion of the euro bailout fund and the Radicova government falls
  • Date: 13th October 2011
  • Summary: BRATISLAVA, SLOVAKIA (OCTOBER 12, 2011) (REUTERS) PEDESTRIANS IN STREET (SOUNDBITE) (Slovak) JANKA, STUDENT FROM BRATISLAVA, SAYING: "We are the last country not to approve the EFSF yet, but it will be approved anyway even if France or Germany will pay for us. But I think we should not go against Europe and we should approve it as well." PEDESTRIANS IN STREET (SOUNDBITE) (Slovak) ANNA, PENSIONER FROM BRATISLAVA, SAYING: "We, poor people, have to give money to some Greeks? I don't like that and no one likes it. They borrowed money once and they want more again?" PEDESTRIANS IN STREET (SOUNDBITE) (Slovak) PETER FROM HANDLOVA, SAYING: "We entered the euro zone and this is a pity - this means advantages as well as disadvantages. Euroval (EFSF) is the disadvantage but it may be worse if the euro falls than to help the other states (approving EFSF), even if we are helping with higher amount from our state budget than for example Germany does, but this is a part of it." FLOWER MARKET (SOUNDBITE) (Slovak) ELENA FROM BRATISLAVA, SAYING: "Approving Euroval (EFSF) or not - it doesn't matter at all. This is good for banks but not for us." PEDESTRIANS IN STREET
  • Embargoed: 28th October 2011 13:00
  • Keywords:
  • Location: Slovakia, Slovakia
  • Country: Slovakia
  • Topics: Business,Economy,Politics
  • Reuters ID: LVA9XAQ1539WQENYPA5ZOX5E74T8
  • Story Text: Slovaks woke up on Wednesday morning (October 12) unsure over the decision by the tiny European country to stall the expansion of the euro bailout fund.
    The government of Slovak Prime Minister Iveta Radicova fell on Tuesday after a small party in her ruling coalition refused to back the plans. The outgoing government still expects to be able to enact the measure as a caretaker administration by the end of this week with support from an opposition party.
    "We are the last country not to approve the EFSF yet, but it will be approved anyway even if France or Germany will pay for us. But I think we should not go against Europe and we should approve it as well," Janka, a student from Bratislava said.
    Bratislava failed to pass a vote on the EFSF (European Financial Stability Fund) late on Tuesday (October 11) making it the only country in the 17-member currency zone that has yet to approve giving new powers to the EFSF.
    "We, poor people, have to give money to some Greeks? I don't like that and no one likes it. They borrowed money once and they want more again?" Anna, a pensioner from the Slovakian capital said.
    The EFSF is Europe's main weapon to respond to a debt crisis that threatens the European common currency, the region's banks and potentially the global financial system.
    "We entered the Eurozone and this is a pity - this means advantages as well as disadvantages. Euroval (EFSF) is the disadvantage but it may be worse if the euro falls than to help the other states (approving EFSF), even if we are helping with higher amount from our state budget than for example Germany does, but this is a part of it," said Peter from Handlova.
    The failure in the Slovak parliament underlines the difficulty of forging a united response to the worsening debt crisis in a currency zone where all 17 member states must act in concert, and voters are increasingly angry at the growing costs.
    Leaders are struggling to find a response that would protect euro zone banks if Greece defaults on its debts.
    "Approving Euroval (EFSF) or not - it doesn't matter at all. This is good for banks but not for us," said Elena from Bratislava.
    The expansion of the fund was agreed in July but must be ratified by each euro country.
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