FINLAND WOULD CONSIDER leaving the Euro rather than paying the debts of another country, the country’s finance minister has said.
In an interview published in the Finnish financial daily Kauppalehti this morning, Jutta Urpilainen said “Finland “will not hang itself to the euro at any cost and we are prepared for all scenarios”.
While broadly supportive of Finland’s membership of the currency union, she said she could not endorse a mutualisation of debts, which Germany has agreed to once certain conditions are met.
“Collective responsibility for other countries’ debt, economics and risks; this is not what we should be prepared for.”
Her announcement came as the cost of borrowing in Spain and Italy rose and the IMF warned that the global economy is set to slow further. Italy’s 10 year bond yield was over 6 per cent, with Spain having to pay just over 7 per cent.