Business World

Tuesday 24 April 2018

Struggling Greece will need at least one more bailout – ECB

BAILED-OUT Greece will need further help – at least once, and possibly twice more, according to European Central Bank Governing Council member Luc Coene.

"It's clear that we are not yet at the end of the Greek problem. We will need to make further efforts, certainly once, perhaps twice more. We will see how the situation develops," said Mr Coene yesterday.

International lenders estimate that Greece will need €10 to €11bn in the second half of 2014, although several eurozone governments are reluctant to extend further loans because of negative public opinion.

"There is an improvement but it is very slow. Naturally, the economic base of Greece is extremely small and it will take a lot of time gradually to put it back in order," added Mr Coene, who is governor of Belgium's central bank.

Discussing the eurozone as a whole, whose very future was put in doubt as financial markets tested the willingness of member states to aid sovereign debt crisis victims, he said: "It is inevitable but it is no longer of a nature to call into question the whole edifice.

"The problem at the start was about the willingness of other countries to help. This has been resolved by the governments and also by the ECB."

Irish Independent

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