UPDATE 2-Austria: Greece has not met aid commitments
Tue Nov 16, 2010 12:39pm EST
* Austria sees no reason to release contribution
* Minister speaks ahead of EU ministers' meeting in Brussels
* Spokesman says Austria doesn't seek to block aid
(Adds comments from finance ministry, more quotes)
VIENNA, Nov 16 (Reuters) -
Greece has not fulfilled commitments for its European Union-backed aid package, Austrian Finance Minister Josef Proell said on Tuesday, warning that his country had not yet submitted its contribution for December.
A spokesman for the Austrian Finance Ministry later tried to soften the remarks which caused Greek debt yields to widen and sent jitters around European markets.
Greece agreed in May to slash its deficit to 8.1 percent of gross domestic product (GDP) this year and under 3 percent by 2014, in return for a 110 billion euro ($154 billion) bailout.
The debt-laden country has already received a total of 29 billion euros in aid from the EU and International Monetary Fund so far this year and inspectors are there this week to see if it has made enough progress to get another 9 billion euro tranche.
On Monday, EU statistics agency Eurostat revised upwards Greece's 2009 budget deficit for a third time, to 15.4 percent of GDP compared with a previous estimate of 13.6 percent.
Speaking ahead of a meeting of EU ministers in Brussels, Proell said Greece had not kept its promise to get its finances in order and that Austria's 190 million euro contribution was not automatic.
He told a meeting of Austrian politicians in Vienna that he was waiting for Greece to give an updated overview of the situation.
"If this is clear and credible then we will have a new set of data," he said according to remarks distributed by his office.
"From the Austrian point of view, there is no reason to release the (aid) contribution in December with the (Greek) numbers as they are at present," he said.
"I am waiting for the themes to be presented by the Greek side today, then we will give our assessment in the ministerial meeting today or tomorrow morning," he added.
Proell said he would "speak out very critically" about Greece in Brussels.
A spokesman for the finance ministry said that Austria was not seeking to stop Greek aid.
"Austria expects Greece to pursue its reforms as agreed under the umbrella framework," spokesman Daniel Kapp said. "To suggest that Austria is determined to block the aid is a misinterpretation."
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A volte mi chiedo se basta la terza media per diventare Ministro delle Finanze...