Statement by President of the Government following meeting of Heads of State and Government of Eurogroup countries

President of the Government.- A hard night, wasn't it? A very good day to you all.

We have just finished the meeting that started at 4 o'clock yesterday afternoon and has finished at 8.57 this morning. I will try to summarise to you the aspects that seem most important and significant to me.

Firstly, the situation Greece was in. At the start of this year, in the month of January - I remember because I was in Athens back then - it had a growth forecast of 3%, whereas this growth forecast has now fallen to negative growth of -2 to -4%; previously it was creating jobs whereas now it is shedding them; and it is now in a very dramatic situation because, as you are aware, the banks aren't opening and people can only withdraw a maximum sum of 60 euros a day; and moreover, it is in a situation of a major loss of confidence vis-à-vis its EU partners.

The agreements we have adopted today are fundamentally the following:

Firstly, Greece has requested a programme for the next three years; a programme that fundamentally consists of a loan from the ESM institutions; we will then look at the role of the International Monetary Fund, but we understand - and this has been contained in the conclusions - that it will also take part.

This programme is tied in to compliance with a series of obligations that must be met prior to the definitive approval of this programme. In other words, on Wednesday Greece must present four Draft Laws; the first on Value Added Tax; the second on pensions; the third on the independence of, let's say, the Greek National Institute of Statistics; and the fourth on assuming its commitments on matters of fiscal consolidation.

This must be approved this Wednesday by the Greek Parliament. If it is approved, the institutions will then see if things have been done as they were agreed to be done. This will then need to go to six national Parliaments which will need to approve it and they will decide whether they will support the programme or not. What is reasonable, what we hope for, is that they will do so; we, of course, will do this, although we don't need to take it before the Spanish Parliament.

Hence, aside from that, I believe that it is a good decision that has been adopted. Greece will remain in the Euro; everything that has been proposed and asked for has one fundamental aim, which is to truly resolve the problems, that comprise ensuring economic growth and job creation, and this can only be achieved through structural reforms, as undertaken by other European Union countries. What we need now is for everyone to meet their commitments. We will obviously meet ours and we hope that the Greek Parliament will follow suit.

Q.- I believe that the 50 billion euros that Germany imposed as a requirement is finally contained in the document. Under what format?

President of the Government.- The 50 billion euros constitute a fund which Greece must set up, in Greece, and which will come from the sale of assets of the Greek State. Of this sum, 25 billion euros will be allocated to recapitalising banks and the other 25 billion will be split in two; half will be allocated to reducing the public debt and the other half will be allocated to productive investments.

Q.- During the talks which have gone on all night, did you truly fear that Greece might leave the Eurozone?

President of the Government.- 16 hours straight, and through the night, is not something that is ever easy. The talks have been as they should have been, each party defending its position but I believe that, in the end, we have reached a fair and balanced situation. The most important thing is that Greece remains in the Eurozone, the European Union remains supportive of Greece - as you are aware we have lent close on 200 billion euros on other occasions - and of course, the European Union is going to demand that Greece meets its commitments. In other words, solidarity requires something in return and that something is responsibility. In the same way as the other countries that were subject to a bailout, such as Portugal and Ireland, met their obligations, did things right and are now enjoying growth, that is what we want for Greece, because the people who are suffering most from this are fundamentally the citizens of Greece who cannot even go to the bank to take out their savings.

Hence, what we are requesting is for them to undertake reforms, for them to be serious and for Greece to meet its commitments.

Q.- In the last list of measures presented, which have been much tougher, can we not read into it that there is an element of revenge for the referendum he called?

President of the Government.- Not at all. The measures which have been presented are reasonable measures. They have been approved by all the countries that make up the Eurozone, including Greece. They are measures with one sole aim, which we must never lose sight of, which is to achieve economic growth and job creation. If Greece complies with these measures, it will have a programme with a lot of money that will undoubtedly be very useful to help people live better which, at the end of the day, is what this is all about.

Now, what is important is being serious, doing things well and meeting one's commitments because, when that is done, in the end you will see results, with those who will see and feel them most being the people themselves.

Q.- What will happen with the payments that Greece has pending to settle this month?

President of the Government.- A mandate has been given to the Eurogroup to resolve this issue. It has outstanding debts, as you say, with the International Monetary Fund, which it has already defaulted on, and with the European Central Bank which I believe, I'm not 100% sure, falls on 20 July, next Monday. In other words, the meeting of the Economy Ministers of the Eurozone will deal with this issue today or tomorrow.

Q.- What will happen with Mr de Guindos?

President of the Government.- We'll see.

Thank you very much.