* Greek safety net can improve bond markets
* Czech aims for euro entry in 2014-2015
By Nigel Tutt
CERNOBBIO, Italy, March 27 (Reuters) - The Czech Republic is preparing a 1 billion euro bond and hopes the European Union's agreement to help Greece will improve market conditions and allow the issue to go ahead, the Czech finance minister said on Saturday. In an interview with Reuters on the sidelines of a seminar in Italy, Eduard Janota said he was preparing the next state budget to pave the way to meet the EU's Maastricht criteria on public finances in 2013 and join the euro in 2014-2015.
"My country is preparing a 1 billion euro bond. We are now preparing for the possibility if the situation on the euro bond market can improve," he said.
The EU's deal on a financial safety net for Greece can bring "positive information to the market and reduce interest rates", he said, adding the deal was "very important" for markets.
At the same summit, French Economy Minister Christine Lagarde said the agreement was "very satisfactory" but declined further comment.
EURO AMBITIONS
Last month, the Czech finance ministry said it had picked
Barclays Capital
Janota told Reuters last month he was considering a 1-2 billion eurobond in the first half of the year with maturity of between 10 and 15 years, but that an issue was not imminent. [ID:nLDE61I08C]
A revamp of the EU's stability pact, launched by EU leaders on Thursday, will keep existing budgetary rules, he said.
"It is important to keep to the rules and every country must solve their own problems first," he said.
The EU could add "soft parameters" to the stability pact such as on competitiveness and labour costs.
Janota said the whole of Europe needed to improve competitiveness in order to compete with the U.S. and Asia.
Asked about Czech interest rates, he said: "In my country there has not been a banking crisis because the central bank is doing its job very well."
On Thursday, the Czech central bank kept interest rates at just one percent with some board members arguing for a cut given weak inflation. Analysts say the crown's strength and weak consumer data can keep rates low. [ID:nLDE62N1MD]
The Czech Republic would like to take up the euro and 2014-2015 is the earliest time it could enter, Janota said.
"We would like to meet the Maastricht criteria in 2013 and enter discussions on the euro. We would like to take the euro. First of all we have to fulfil the conditions," he said. (Writing by Nigel Tutt; editing by Stephen Brown and Mike Peacock)