Friday, January 21, 2011

Greece Says No Debt Restructuring Amid `Complicated' EU Talks

January 19, 2011

Greek Finance Minister George Papaconstantinou said his country isn’t considering restructuring its debt and that “difficult and complicated” discussions are under way at the European Union to reach a joint solution to the EU’s debt crisis.

“At the moment an extremely difficult and complicated discussion is taking place on how there will be a collective solution to the problem we have,” Papaconstantinou said in an interview on Mega Television in Athens. “In this discussion there are many opinions. I want to say that the government isn’t thinking along the lines of debt restructuring.”

Greek bonds fell today after Die Zeit newspaper reported that Germany is considering a plan that would allow the Mediterranean nation to buy back its own securities. The country’s 300 billion euros ($404 billion) of debt sparked a sovereign-debt crisis in Europe after Prime Minister George Papandreou revealed the budget gap was four times the EU limit. A 110 billion-euro bailout crafted by the EU and International Monetary Fund has failed to stem soaring borrowing costs for the country amid concerns of a Greek default.


No comments: