Kenny refuses to enter Rehn row with IMF

Taoiseach Enda Kenny has sidestepped the simmering row between the International Monetary Fund (IMF) and the European Commission over rescue measures for Greece.

At a Helsinki conference, EU economic affairs commissioner Olli Rehn hit out at the IMF for issuing a report on Wednesday saying that Greek debt restructuring in February 2012 came a year too late.

"I don't think it's fair and just for the IMF to wash its hands and throw the dirty water on the Europeans," said Mr Rehn at the Economic Ideas Forum in the Finnish capital.

Asked about Mr Rehn's remarks, Mr Kenny said his critical views of Ireland's original EU-IMF programme were known, adding: "This is not about getting involved in a row; decisiveness, clarity and courage are required."

Speaking to the Helsinki conference, Mr Kenny said the euro crisis had taught Europeans the “critical necessity of closer integration in currency union”.

“While we have had many difficult meetings, and ups and downs, when push came to shove, when the market wolf was at the door, the European family pulled together, in keeping with its finest traditions.”

He said the Irish presidency of the European Council would work "until the last minute" on June 30th to advance its agenda for stability, growth and jobs and on the components of the so-called banking union.

Banking supervision
On Ireland's watch, he said, Europe had made credible steps on a single body to supervise euro-zone banks, and on measures to enable banks to weather future financial shocks. Agreement was "within our grasp" on further pieces of the banking union puzzle, he said: a deposit guarantee directive and a common mechanism to reform or wind up failing banks.

Agreement on a banking union was, he said, a “litmus test” of politicians’ ability to deliver on commitments.

“I remain hopeful that we will get there, though I have no illusions about the difficulties involved or may arise.”