Greek debt restructuring is not taboo. This was stated by the president of the Eurogroup, Jeroen Dijsselbloem, interviewed in Le Monde, adding that "progress has been made in the negotiations in recent days".
“The discussion on the debt relief of the Greece – says Dijsselbloem – it is not a taboo. The only thing that is politically impossible is the cancellation of its face value. However, the debt discussion will only be held when the second program is completed." According to Dijsselbloem, even “although it is very early for a final agreement on May 11, no one in the Eurozone is discussing another scenario which is to offer Greece the tools for a financially independent future within the Eurozone".
Dijsselbloem specifies that from a political point of view the final date of a discussion between Greece and its creditors “is the end of June, when a second aid program will end, even if another final date could arise if the problems of liquidity will become very serious for Athens. But we don't want to get to that." In this regard Dijsselbloem clarifies that there are no conflicts between Brussels and the IMF and that debt reduction is not taboo.
“It is true – explains Dijsselbloem – that there is a link between the level of the primary surplus to which Greece must reach this year, the structural reforms, which are under negotiation, and the sustainability of the debt in the long term. atEurogroup of November 2012 we said that if Greece respects all its commitments, it will terminate the program, but if the debt is no longer sustainable, it will be necessary to go further. The discussion of debt relief is not taboo. The only thing impossible is a cancellation of its nominal value”, which is 320 billion euros.
