Friday

26th Aug 2016

Germany promises Portugal 'programme adjustment' after Greece

  • Portuguese minister Gaspar (l) got a nod from Germany (Photo: Council of European Union)

German finance minister Wolfgang Schauble on Thursday was caught on tape promising Portugal an adjustment to its programme after a deal with Greece is sealed, the first time an EU minister has publicly spoken of such plans.

The footage was caught by Portugal's TVi24 cameraman during the 'roundtable' shots at the beginning of a eurozone ministers' meeting on Thursday (9 February).

Dear EUobserver reader

Subscribe now for unrestricted access to EUobserver.

Sign up for 30 days' free trial, no obligation. Full subscription only 15 € / month or 150 € / year.

  1. Unlimited access on desktop and mobile
  2. All premium articles, analysis, commentary and investigations
  3. EUobserver archives

EUobserver is the only independent news media covering EU affairs in Brussels and all 28 member states.

♡ We value your support.

If you already have an account click here to login.

Schauble, unaware of the rolling camera, is seen telling his Portuguese counterpart Vitor Gaspar that after the Greek deal is done, Berlin will approve a loosening of the conditions attached to Portugal's €78 billion bail-out programme.

"If at the end we need to make an adjustment to the programme, having taken large decisions about Greece ... This is essential. But then, if necessary, an adjustment of the Portuguese programme, will be prepared," he says.

The Portuguese minister is grateful saying: "Thank you very much."

"No problem," Schauble replies. "It is that members of the German parliament and public opinion in Germany does not believe that our decisions are serious, because they don't believe in our decisions about Greece."

Gaspar notes the "substantial progress" his country has made, eliciting agreement from Schauble: "Yes, you did progress."

Portugal - the third euro-country to receive a bail-out after Greece and Ireland, is struggling with high borrowing costs and recession after it pushed through an aggressive programme of spending cuts and selling of state assets, such as the country's main energy company REN to state companies from China and Oman.

Hedge funds have already started speculating on Portugal being the next in line for a debt restructuring programme similar to the one currently negotiated with Greece, but EU officials have repeatedly stressed that Athens' situation is "unique."

Schauble on candid camera.

News in Brief

  1. Greeks paid €1bn more in taxes in June
  2. Greek minister denounces EU letter on former statistics chief
  3. Turks seeking asylum in Greece may cause diplomatic row
  4. Merkel becomes digital resident of Estonia
  5. Report: VW will compensate US dealers with €1bln
  6. EU mulls making Google pay news media for content
  7. Sweden to name new EU ambassador
  8. Deutsche Boerse and LSE request EU merger approval

Stakeholders' Highlights

  1. EFASpain is not a democratic state. EFA expresses its solidarity to Arnaldo Otegi and EH Bildu
  2. UNICEFBoko Haram Violence in Lake Chad Region Leaves Children Displaced and Trapped
  3. HuaweiMaking Cities Smarter and Safer
  4. GoogleHow Google Makes Connections More Secure For Users
  5. EGBAThe EU Court of Justice Confirms the Application of Proportionality in Assessing Gambling Laws
  6. World VisionThe EU and Member States Must Not Use Overseas Aid for Promoting EU Interests
  7. Dialogue PlatformInterview: "There is a witch hunt against the Gulen Movement in Turkey"
  8. ACCAACCA Calls for ‘Future Looking’ Integrated Reporting Culture With IIRC and IAAER
  9. EURidNominate Your Favourite .eu or .ею Website for the .EU Web Awards 2016 Today!
  10. Dialogue PlatformAn Interview on Gulen Movement & Recent Coup Attempt in Turkey
  11. GoogleA Little Bird Told us to Start Tweeting About Google’s Work Across Europe. Learn More @GoogleBrussels
  12. Counter BalanceThe Trans Adriatic Pipeline: An Opportunity or a Scam in the Making for Albania?