Business World

Sunday 18 March 2018

One-in-three chance of Greek exit -- S&P

CREDIT-rating agency Standard and Poor's said yesterday that it sees "at least" a one-in-three chance of Greece exiting the eurozone in the coming months, an outcome which could lead the country to another sovereign default.

"This could be brought about by Greece rejecting the reforms demanded by the troika -- the European Commission, IMF and the ECB -- and a consequent suspension of external financial support," S&P said in a new report.

"Such an outcome would, in our view, seriously damage Greece's economy and fiscal position in the medium term and most likely lead to another Greek sovereign default," it said.

But the impact of a Greek exit on other fiscally weak eurozone countries could be less clear cut, S&P said, with other sovereigns unlikely to follow Greece out of the monetary union.

Irish Independent

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