Finland gives Greek bailout green light

FINLAND has given its approval for a third eurozone bailout package for indebted Greece, as long as dozens of preconditions outlined by creditors are met.

A pro-Euro demonstrator is silhouetted behind a Greek flag during a rally outside the Greek Parliament in Athens, in this photo dated Monday, June 22, 2015. The latest incarnation of Greece’s economic crisis over the span of a month saw Greece in the end accept harsh austerity measures from creditors to save the country from bankruptcy and possibly ignominiously getting kicked out of the eurozone. (AP Photo/Daniel Ochoa de Olza)

FINLAND has given its approval for a third eurozone bailout package for indebted Greece, as long as dozens of preconditions outlined by creditors are met.

“I got today a mandate to approve the third package for Greece,” Finance Minister Alexander Stubb told reporters at the parliament in Helsinki on Thursday.

“There are 47 preconditions outlined by the ‘troika’ to the approval of the first payment and this as well was just sealed by the Grand Committee,” he added, referring to Greece’s three creditors — the EU, the European Central Bank and the International Monetary Fund.

Bailout announcement ... Alexander Stubb, Finland's finance minister, said the country has given the Green bailout deal the green light. Picture: Henrik Kettunen/Bloomberg

The Nordic country’s Parliamentary Grand Committee — consisting of 25 of the legislature’s 200 MPs — is the organ in Finland that gives the government its mandates to negotiate on EU matters.

Finland, together with Germany and some Eastern European countries, is known as one of the hardliners among the eurozone members, mainly due to the influence of the Eurosceptic Finns Party in its centre-right coalition.

Stubb said a solution on the final details of the deal could be found at the Eurogroup’s meeting on Friday.

“In that case the first payment would range between 26 and 43 billion euros ($39 billion — $65 billion). The second option is that we will need a small bridge funding for the moment. Both options suit Finland.”

Embattled leaders ... Greek Prime Minister Alexis Tsipras (left) and Greek Economy Minister Giorgos Stathakis after their meetings at the Greek Ministry of Infrastructure, Transport and Networks in Athens on August 12. Picture: AFP/Louisa Gouliamaki

If the deal is delayed, Greece needs bridge financing to prevent a default next Thursday when it meets a deadline of a payment to the ECB.

Stubb added that the IMF’s participation in the bailout was not a prerequisite for Finland.

“IMF’s participation would account for some 15 to 20 billion euros, which would be strictly conditional as well ... Finland cannot demand IMF’s participation but we will support it,” he said.

Several other European parliaments need to approve the preliminary agreement of the debt deal which was outlined Tuesday in Brussels by the Greek government and its creditors.