Chancellor Angela Merkel on Sunday suggested that Germany would show flexibility in negotiating how Greece deals with its massive debt, but again ruled out writing off part of the money.
Speaking on ARD television’s Bericht aus Berlin program, Merkel said that “a classic haircut of 30, 40 percent of debt cannot happen in a currency union.”
But Merkel, who persuaded German lawmakers on Friday to give their overwhelming backing to another financial rescue package, suggested that she was open to discussing ways to lessen the burden on Athens.
She said, for example, Greece previously has been given more favorable interest rates, time extensions and other relief
“We can talk about such things again,” she said, but added such talks could only begin after details of Greece’s bailout program are finalized.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.