The downgrade of nine eurozone countries as well as of the eurozone's temporary bail-out mechanism by S&P's made the launch of European Stability Mechanism (ESM) more urgent, Slovak Finance Minister Ivan Miklos told a press conference on Thursday.
"Agreement has been reached for the ESM to become effective as of July 1. (The rating downgrade) is yet another reason (for the ESM to become effective)," said the minister.
The issue, according to Miklos, will be top on the agenda of next week's session of the eurozone finance ministers in Brussels.
Miklos also pointed out that less than half the current effective credit capacity of European Financial Stability Facility (EFSF) has been drawn.
"I assume that even after this (credit-rating) cut, the EFSF's capacity should suffice for ongoing schemes until July, when the ESM becomes effective," he added
In terms of the European Central Bank's (ECB) engagement in addressing the debt crisis in the eurozone, Miklos said that the bank is doing what it's supposed to do.
"In essence, I agree with the ECB's policies. I don't think a greater deal of involvement would do any good. It might help in the short term, but not in the mid or long term," he said.
Meanwhile, Miklos said that a Greek default could not be ruled out if the ongoing talks between the Greek government and private creditors in Athens fail.
"If no agreement is reached in Greece, the participation (of private creditors) will not be voluntary and there will be a default," Miklos said.
A new round of talks between the two sides opened on Wednesday in Athens, following the suspension of negotiations last week over the interest rate of the new bonds with longer maturities Greece will offer to the private sector.
