Stournaras dismisses the faster re-privatization of banks

"The terms of the Warrants will not change. We are looking to give opportunities to FSF to act in the public interest," FinMin Yannis Stournaras replied to a question in parliament from SYRIZA president Alexis Tsipras regarding articles in the press and the developments in the banking sector.

Stournaras said that the government's goal after the recapitalization of banks is to ensure the release of financial institutions by the FSF always with the public interest in mind.

"Where does it appear that there will be a loss for the Greek public sector?" Stournaras replied to Tsipras in relation to reports for the exchange of warrants.

From Stournaras’ statements arise serious questions about postponement or even cancellation of the new bill being prepared to change the terms of the warrants to accelerate the re-privatization of banks. Also, it is obvious that he is backing off regarding the privatization of Eurobank, which if done at lower prices than the international funds and in relation to those put by the FSF, will cause at least a temporary damage to the state funds. Of course, this gap could be filled if the stock rises in due course and due to the good running of the bank.

The debate in parliament today moved to high tones with the leader of the opposition accusing the government that in its implemented plan it did not include the commitment of banks to restructure loans and essentially gave away state money to rescue them while at the same time it left their administrations intact.