Greece: Act II of Greece’s debt tragedy

Written by Linda Digby 17 Jul 2015
Greece: Act II of Greece’s debt tragedy

On Friday, Greece asked for 53.5 billion euros to help cover its debts until 2018, a review of primary surplus targets and ‘re-profiling’ the country’s long-term debt. Greece’s future is in the hands of the European Central Bank, the International Monetary Fund and the European Commission, France and Germany. With Greece and Germany at loggerheads, France has found itself caught in the middle. The country’s role is a pivotal one; it must help them to look beyond their past disputes. Germany’s Chancellor Angela Merkel is in a tricky situation. She can’t ignore the fact that most German politicians and a portion of the public are tired of hearing about Greece. The International Monetary Fund has been unpredictable since Christine Lagarde took over in 2011, its interests sometimes aligning with Greece, at other times with its creditors. Some have questioned whether the Greek debt crisis has undermined the European Commission instead of reinforcing its role at the heart of Europe’s institutions.

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