She said it was better than the proposal Cyprus rejected last week, that it met many of Finland’s objectives, and marked a new milestone in handling of the eurozone crisis.
Urpilainen told journalists that she did not believe the Cypriot problems would spread to other parts of the Eurozone. She estimates that the Finnish parliament will be asked to approve the bailout after Easter provided the Grand Committee approves that schedule.
Although the package involves significant pain for uninsured depositors, Urpilainen said she believes it is the best deal possible for Cyprus.
"It should be remembered that Europe is helping Cyprus," Urpilainen noted. "It is unfortunate if they do not understand that, because the European Stability Mechanism and the International Monetary Fund are giving a loan to Cyprus. Every effort is made for the best interests of the Cypriots, but it should be remembered that a loan cannot be granted on just any conditions."
Russian help welcome
The Finance Minister also hoped that Russian reactions would not be too negative, even though many Russians stand to lose out under the bailout deal. She said that ”it would be good” if the Russians could join in lengthening the repayment period of the loan, or reducing the interest on loans Russia had already granted.
Opposition parties are less satisfied with the deal.
Finns party leader Timo Soini said the package was a half measure, as the Bank of Cyprus will not be forced out of business, unlike the worst offender, Laiki.
Antti Kaikkonen, a Centre party MP who chairs parliament's Grand Committee, said his party also opposed the deal.
He said it was strange for Finland to support a country that had lower corporation tax and where banks offer higher interest on deposits.
He did concede, however, that the package was better than the one Cyprus rejected last week.