Finland falling-out

The Finnish euroskeptic party True Finns have abandoned talks on forming part of the country's government following a dispute over bailout aid for Portugal.

True Finns party leader Timo Soini said Thursday that the decision had been "tough" but that his party could not form a coalition with parties that approved of a rescue package for Lisbon.

Finland is set to give the go-ahead to its part of the 78-billion-euro ($112.3 billion) scheme, which has the backing of the country's top two parties as well as smaller parliamentary groups.

"We will not take part in the government negotiations, with their stance. The views are so different, they aren't compatible," Soini told reporters.

Soaring support among voters

The party, the country's third largest, was the only one to increase its number of parliamentary seats in an April general election, following a campaign of opposition to European Union rescue packages for the continent's ailing economies. It increased its share of the vote from just over 4 percent to 19 percent.

The leading National Coalition and second-biggest Democratic party together hold 86 of the parliament's 200 seats. A coalition of the two without True Finns would also require support from a number of minor parties. "It will be a government of losers," Soini said.

A meeting of the Finnish parliament's grand committee is set to vote Friday to grant a mandate for Finland's contribution to the package. Prime Minister-in-waiting Jyrki Katainen would then approve the bailout plan at a meeting of EU finance ministers on Monday.

Author: Richard Connor (AFP, dpa, Reuters)
Editor: Martin Kuebler