By N. Bellos
The European Central Bank (ECB) wants “clarity” in terms of the intricate issue of Greek debt relief, with the Frankfurt-based central bank that manages the single currency linking the issue with growth prospects for the crisis-battered Greek economy and Greek banks’ inclusion in the QE regime.
The central bank’s views on Greek debt relief were delineated on Wednesday by ECB executive board member Benoit Coeuré, who spoke to members of the European Parliament’s economic and monetary affairs committee.
He estimated that the Greek state will not be able to seek stable access to international markets unless relief is given by creditors.
Coeuré said it was difficult for Greece to achieve “solid and long-lasting market access without the clarity about the sustainability of Greek debt.”
He also estimated that the IMF should remain in the Greek program to ensure fair treatment in Greek debt talks.
“There are serious concerns about the sustainability of Greek public debt … We are looking forward to a solution that can reassure markets, restore confidence in the dynamics of public debt, allow the full involvement of the IMF in the program -- which would enhance the program’s credibility -- and restore market access for Greece ahead of the end of the program in July 2018.”
