Tuesday December 23, 2014 Search
Weather | Athens
13o C
8o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Euro exit would be 'catastrophic,' Papademos says

A Greek exit from the euro zone would be «catastrophic» for the country, former prime minister Lucas Papademos said on Thursday, urging the Greek people to «stay the course» of painful economic reforms.

"The overall economic consequences of a Greek euro exit would be disastrous, or to use a Greek word, catastrophic,» Papademos, also a former vice president of the European Central Bank, said in a speech at an Institute of International Finance conference in Copenhagen.

Papademos said international lenders should ease the terms of conditions imposed on Greece to help its recovery.

"In light of recent developments I believe it would be appropriate to extend the horizon of the fiscal adjustment process by at least one year,» he said.

Greece will hold an election on June 17, which is being billed as a referendum on whether to stay in the euro zone.

"Today Greece stands at a critical crossroads,» Papademos said.

A vote that resulted in Greece's leaving the euro would represent a «national defeat» because it would show the country had failed to put its fiscal house in order, he said.

Leaving the euro zone could, in theory, give the country more flexibility in terms of its fiscal plans. But in reality, it would lead to a double-digit surge in inflation, greater stress on the banking system and more difficulties for companies to access capital markets, he added.

Papademos said he supported setting up a new, independent, tax authority. «The fight against tax evasion must finally be won,» he said, adding this required political will and institutional change.

Papademos was prime minister from November 2011 to May 2012, helping push through a deal to restructure 206 billion euros ($259 billion) of the country's debt to try to put it on a sustainable footing. [Reuters]

ekathimerini.com , Friday June 8, 2012 (11:27)  
Gov´t seeks better result in second presidential vote as bribe claim probe shelved
Civil servants to grade evaluation scheme
Police collar fraudsters who conned money out of jobless
Bill aims to close down landfills, curb EU fines
October data show fleeing bondholders
October data compiled by the Bank of Greece confirm that foreign investors are letting go of their Greek bonds, as within just one month the country’s central bank recorded an outflow of 1.7...
Expired debts to the state soar to more than 72 bln euros
Households’ inability to keep up with their tax payments combined with anticipation of the new repayment plans, which were finally announced a few weeks ago, led to expired debts to the stat...
Inside Business
SOCCER
Special day for Abidal, lucky one for PAOK
PAOK scraped through its Livadia challenge beating Levadiakos to remain on top of the Super League for Christmas, one point ahead of Olympiakos that enjoyed a great game at Kalloni and offer...
BASKETBALL
Explosive Barca unfazed by Panathinaikos, bomb scare
Panathinaikos lost 80-67 at home to Barcelona on Friday in a rather meaningless game at the end of the first group stage of the Euroleague, but the encounter will be remembered for the bomb ...
Inside Sports
INTERVIEW
Klaus Regling stresses debt sustainability through commitment to reforms
BRUSSELS – The man who is responsible for the loans to Greece as managing director of the European Stability Mechanism (ESM/EFSF), Klaus Regling, is the only high-ranking European official w...
INTERVIEW
‘Crisis of confidence will come back again and again,’ says Thomas Piketty
He’s treated like a rock star wherever he goes to lecture. His book “Capital in the 21st Century,” a study on income and wealth inequality from the 18th century to the present, recently tran...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. October data show fleeing bondholders
2. Expired debts to the state soar to more than 72 bln euros
3. First four contracts to fund small firms signed by IfG and banks
4. Investors putting plans on hold
5. Gov´t seeks better result in second presidential vote as bribe claim probe shelved
6. Civil servants to grade evaluation scheme
more news
Today
This Week
1. Greek parliament vote in balance after Samaras election offer
2. Euro shaky on ECB and Greece, dollar keeps edge
3. Prosecutor gathers depositions in Independent Greeks 'bribe' probe
4. Government accuses SYRIZA and Independent Greeks of 'clear alliance'
5. Klaus Regling stresses debt sustainability through commitment to reforms
6. Draghi starts squaring QE circle in month of persuasion for ECB
Today
This Week
1. Samaras summons bond vigilantes with euro exit talk
2. High stakes
3. Europe's drama in Greece needs final act to avoid tragedy
4. On the edge but not gutless
5. Greek PM offers compromise solution with elections by end-2015
6. Ship with 200 migrants off Pylos towed to Italy after passengers refuse to stop in Greece
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.