Michael Noonan: Syriza made disastrous decision
The senior Fine Gael TD said the crisis in the eurozone member would have been “so much easier to settle” a fortnight ago if the controversial vote did not take place.
Speaking on his way into an EU finance ministers meeting in Brussels Noonan said that while the referendum initially looked like a significant victory for the Greek government, it has led to worrying economic uncertainty.
After a climbdown by Syriza in the past 48 hours which has seen it seek to pass a deal through its parliament that will result in service cuts and tax rises, Noonan said in hindsight it was not in the party’s interests to put the now-agreed issues to a referendum.
“It would have been much easier to settle this last February and it would have been much easier to settle this a fortnight ago, but the referendum was a disastrous political decision,” he said.
“They [economic and political issues] don’t stay separate for long and once the ‘No’ in the referendum triggered the closure in the banks and the restriction of money in ATM machines through capital control, it was inevitable that the price of the bailout would be more expensive.”
That view was echoed in Dublin yesterday by Public Expenditure and Reform Minister Brendan Howlin. He said the referendum “delay” has “compounded difficulties”. Sinn Féin said Syriza has not undertaken a dramatic bailout U-turn.
Speaking outside the Dáil, the opposition party’s deputy leader, Mary Lou McDonald, and finance spokesman Pearse Doherty said Syriza pushed EU talks to their “very, very limit” and denied Sinn Féin is now damaged by the apparent retreat by Greece’s government.
“Not at all,” Doherty said when asked if Sinn Féin has been negatively affected by this week’s events. “Syriza negotiated with their last breath against the Euro-group. Unfortunately the Eurogroup decided to side with the strong.”
