European Stability Mechanism (ESM) head Klaus Regling on Sunday in statements to the Delphi World Economic Forum left open the possibility of future Greek debt relief measures, stressing at the same time the importance of growth and the continuation of reforms.
“Greece has come a long way to recovering from the 2009 crisis and to remedy the imbalances that this crisis has triggered. If everything goes well, it will soon no longer need financial assistance from its eurozone partners. However, the journey is not over – we are far from this. Making Greece a modern, competitive and sustainable economy will take longer and last long after the end of the ESM program (expected in August). This is my most important message today,” he said.
According to Regling, “while everyone agrees that Greek debt should be manageable, “its further relief is not the most important thing needed in order to achieve this. What Greece needs first and foremost is growth, ongoing reforms and a business-friendly economy with sufficient public administration.”