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FACTDROP: The Greek Debt Trap: 'An Escape Plan'


The Greek Debt Trap: 'An Escape Plan'

Πηγή: Bruegel 
By Zsolt Darvas
Nov 9 2012

In this interesting report the Bruegel think tank - which is chaired by Jean-Claude Trichet - an unpleasant prospect is unfoleded as few of the main points are that :
  • A credible resolution should involve the reduction of the official lending rate to zero until 2020, an extension of the maturity of all official lending, and indexing the notional amount of all official loans to Greek GDP. Thereby, the debt ratio would fall below 100 percent of GDP by 2020, even if the economy deteriorates
  • ... an additional €40 billion will be needed by 2020 and a further €43 billion for 2021-30.
So the present debate between the IMF and ECB is just another compromise while the statement of Antonis Samaras that the recent austerity measures should be the last is another lie on the usual pile...

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