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CNA - Cyprus supports efforts to complete an agreement on a Eurozone 'budget', Minister Georgiades says

CNA - Athanasios Athanasiou - Brussels
Cyprus supports the efforts to complete an agreement on the first ever Eurozone "budget", Finance Minister Georgiades stated, entering the Eurogroup meeting where the specific proposal has been tabled.

In detail the Minister stated: "Let`s be realistic. It`s not what many had assumed at the beggining that this instrument would be, so it is not this massive macroeconomic stabilization tool. It is something more specific. Someting smaller in size. Still we are supportive and I belive we should conclude this discussion, we should finalize our decisions regarding this instrument so we move on. As I said it is not what it was supposed to be, but it is still useful, so let`s get it done".

He also clarified that "we do reach decisions by consensus and the consensus opinion at this stage was that this should not be something bigger that it seemed it will be."

Invited to comment on the uprising US - EU trade conflict, the Minister answered that "the view from back home is that the services sector has been more immune to the rising trading tensions, and it is so far the manufacturing sector that has taken the hit. That is why we see Germany being in a slowdown, but obviously there will be spilover effect - in my view it is likely the single most important issue, both as far as the European economy and the global economy and it is of course of concern because the very foundation of the global economic order as we have known it is in question. So this is an issue and it is something which highlights the importance of the EU, something not always clear, but it is very easy for anyone to consider how immense our vulnerability would be, if we did not have the EU as a trading block."

"Trade constitutes one of the succesful EU policies, and highlights the value of the EU in these times of global uncertainty and rising trade protectionist tendencies", Harris Georgiades stated.

"I see these challenges as reasons to probably stick together and make sure the EU remains efficient, effective as a political and economic union. So I definetely do believe that we should safeguard what we have won over the last few decades", he stressed.

Finally invited to comment on external factors that may pose risks for the 2020 budget, he said that "obviously trade tensions is an issue and no economy can feel immune in the deteriorating economic environment. Brexit is next on the list of worrying developments. But let`s face it, our government, and I would say most governments, probably most companies, corporations are prepared for a no-deal Brexit. And this very fact is the baseline scenario now and probably makes Brexit less of a risk than it was a year or two ago. So if an event does not have the sense of crisis or sudden event or we have seen it coming and have been prepared for it, it does not mean it is not a negative development, but not as bad as a year or two ago."


Cyprus News Agency, 21 Academias Avenue, 2107 Aglantzia, Nicosia
Tel. 22556000, Fax. 22556100,, website:

Agency : CNA

Date : 2019-10-10 17:45:00


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