Eurogroup Members Ready to Help Greece

After meeting in Brussels, the finance ministers of the EU countries which use the euro confirmed their readiness to help Greece but failed to give precise details on how they will help the country, saying only that their assistance would not include loan guarantees.

Greece has been dealing with a severe economic situation for months; the country's debt has now reached €300 billion. Athens ran a budget deficit of 12.7 per cent of GDP last year, over three times the allowed euro-zone limit, and there is concern in many countries that the fallout from Greece's situation will spread to other European states.

The leader of the 16 euro-zone countries, Luxembourg’s Prime Minister Jean-Claude Junker, said on Monday night after the meeting that the rescue plan would be a last resort and said that Greece would not need a bailout.

"What will happen if necessary, and we're still convinced it won't be necessary, is that we'll reach an agreement in the euro-zone to offer bilateral support in a co-ordinated form," he told journalists late on Monday evening, adding that the Greek authorities have not yet asked for financial support.

The ministers of finance of the EU member states will return to this issue in Tuesday’s meeting, while next week’s summit of EU heads of states and governments will serve as an opportunity to decide on the details of the controversial financial lifeline.