Senior German lawmaker says Greek insolvency does not mean a euro exit

A senior German lawmaker on Monday said that if Athens were to become insolvent it would not necessarily mean an automatic exit from the eurozone.

Speaking to Dow Jones Newswires, Norbert Barthle, the most senior conservative member of German parliament’s influential budget committee, said that Greek insolvency «does not mean Greece’s exit from the eurozone. I see no tendency for Greece to exit the euro,» he added.

Barthle also said that continued aid for the struggling Greek economy would be dependent on the support of the International Monetary Fund, one of Greece’s three lenders, including the European Commission and the European Central Bank. Barthle was commenting on reports earlier in the day suggesting that the IMF may withdraw further assistance for Greece unless Athens fully implements a painful austerity program agreed with its creditors.

He said that if the IMF were to withdraw its support, then the German parliament «could not approve further aid.”

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