The President of the Euro Working Group (EWG) Thomas Weiser warned that Greece would be under the oversight of its creditors for many years to come. In an interview to Greek site insider.gr the head of the EWG expressed his optimism that the debt-ridden country could stand on its own two feet, but added that for Greece to achieve independence it would need to complete the third and painful evaluation.
Mr. Weiser continued by implying that more fiscal measures would be necessary after 2019 and 2020, the extent of which would depend on next year’s budget. The EU official said that Greece was offered such an extremely beneficial financial support package, with exceptionally extended maturities, grace periods and low interest rates, that it was unprecedented on a global scale for modern nation-states, with the exception of the Vatican.
“It [Greece] enjoys a financial nirvana”, he said. On the issue of the Greek debt and its sustainability he pointed out the matter would be decided upon at the end of the third programme. “An analysis report will be received in the summer of 2018. We will see at the end of the programme if a debt relief is needed”, he said.
On the issue of whether the third evaluation will be completed in time, in light of the 95 prior actions, Mr Wieser appeared optimistic. “Most of the prio-actions were related to the measures that have already been agreed and legislated. It is therefore totally possible to complete the implementation of the 95 actions in the autumn, something that some members of the Greek government agree on.”
He added, however, that even of the programme is completed in August 2018, Greece could be faced with the prospect of enforcing new extra ordinary measures.