H.E. Mr. Patrick Engelberg:

I thank Deputy Durkan for his contribution and for his encouragement. I will come back to two topics he raised, the first being the common consolidated corporate tax base, CCCTB, transparency on fiscal matters and fiscal rulings. Generally, the Luxembourg Presidency decided it would put on the agenda all the financial and tax questions that have been raised in the recent past. Although it might not be obvious to some member states to expect this of Luxembourg, we thought that first it is our duty as a Presidency and that second we believe strongly in the level playing field and that the same conditions and same level of information should apply to all. The finger is pointed at some member states because they allegedly seem to have certain systems which are then presented as being disruptive. Luxembourg also often faces criticism or attacks and we thought the best thing to do would be simply to put it into the open, have a general discussion on it and not to be looking at one country or another. This is why we wish to make progress on CCCTB, on base erosion and profit shifting, BEPS, and on other items as well. However, to be productive and to avoid creating a system where we might harm ourselves or even collectively as the European Union, we are very much in favour of aiming at OECD standards rather than European Union standards. This is because OECD standards would be much broader than would European Union-only standards.

On Greece, obviously this is an extremely difficult and delicate situation, which has not been made easier since last Sunday. All the resources seem to be mobilised this week to find a solution. Emergency meetings at the level of the European Council have been called and there will be another one on Sunday. In addition, there will be another meeting of the Finance Ministers on Thursday. I read this morning that President Obama has called the Greek Prime Minister in order to understand the situation and also perhaps to advise him that good progress should be made. It obviously is a huge issue and problem that does not merely concern Greece, the eurozone or the European Union as the whole world is looking at us. The Deputy is absolutely right; the European Union must get it right because, otherwise, we will lose credibility. One message that was made clear yesterday to Prime Minister Tsipras is that we are running out of time. Certain of our fellow leaders made stronger comments than others, while some of them gave the impression they might be a little more flexible on finding a solution. While that certainly is a good state of mind, Luxembourg as a country on a national basis could probably accept a further degree of flexibility than it would be able to propose as a Presidency. That is also what my Finance Minister said very strongly yesterday. Whatever solution is found, one must bear in mind what other countries in similar situations endured and accepted measures, which then eventually helped them to rebound and improve the finances of those countries. Obviously, while one cannot compare totally one country with another, in looking at what sort of solution can be found for Greece, one also should bear in mind what has been accepted by other countries in similar situations. Let us then see what will emerge this week. Sunday has been presented as the last possible day to find a solution, after which we probably will be in a different world. I also read that President Juncker has stated he has a Grexit scenario ready in his drawer. While it is not a perspective anyone is contemplating with anticipation, the Deputy is absolutely right that at some stage, we must take a decision, which, obviously, Greece must do also.