The voices in Brussels asking for a “haircut” of the Greek debt are multiplying, according to today’s Die Welt newspaper. “A haircut is inevitable, otherwise Greece will not be able to repay its debt”, estimate high-ranking EU agents, responsible for consultations, with respect to Greece.
A divergence of views still exists, however, in Brussels, on the time of a possible debt restructuring, according to the newspaper. Some think that a haircut is needed within 2015, while others believe that the haircut will have to take place in a few years, when the risk to other countries in crisis will be removed.
Senior officials estimate that Greece will not be able to return to markets in the coming months, so a credit line will have no point.
Die Welt adds that the same Brussels officials expect that the Greek program will be extended past February and will spill over to a third program for Greece. They also estimate that the medium-term needs for Athens amount to 20 billion euro.
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