Greek collateral needed

Marion Dakers
GREECE could end up using its own land as collateral for its bailout package as part of plans under discussion between Eurozone governments.

As Finland threatened to quit the bailout programme if its request for collateral was turned down, ministers considered asking Greece to put up non-cash reserves such as gold, industrial assets and even real estate.

Finland could renege on last week’s bilateral deal with Greece that saw the struggling Eurozone nation offer to provide cash collateral for Finland’s part of the support fund.

A minister in Angela Merkel’s German government backed Finland yesterday, saying in a television interview: “Several states are making big efforts to service their debt. This must be honoured.

“But to keep up those efforts in the long term, collateral is needed,” added Christian Democrat deputy leader Ursula von der Leyen.