ECONOMY

French exposure to possible Greek default 65 bn euros

french-exposure-to-possible-greek-default-65-bn-euros

France's exposure to a Greek debt default would total 65 billion euros (about $72 billion), a report by the Senates finance commission said Wednesday.

"Our country's total exposure to a possible Greek default represents around 65 billion euros, well above the 40 billion euros usually cited," Senator Alberic de Montgolfier said in a statement accompanying a report he delivered to Frances upper house of parliament.

The estimate was disclosed as members of the French government, including Finance Minister Michel Sapin, have expressed a willingness to consider reducing Greeces crushing debt load of over 320 billion euros as part of a new rescue programme seeking to avert a Greek default and probable exit from the eurozone.

Last week Sapin noted that "the debt question isn't taboo" in seeking a last-minute bailout accord with Athens.

Eurozone leaders have ordered Greece to submit detailed reform proposals towards a new deal by Thursday following the Greek rejection of terms of the previous bailout accord in a referendum Sunday.

Greece on Wednesday pledged to make "credible" reforms including measures related to tax and pensions in return for a three-year eurozone loan.

All 28 European Union leaders will examine the plans on Sunday in a make-or-break summit.

[AFP]