The fact that Greece managed to have access to capital markets without the help of others is evidence of the country’s economic recovery, Rolf Strauch, ESM management board member in charge of economics, policy strategy and banking, said in an interview with Swiss newspaper “Finanz und Wirtschaft”.
“At a minimum, this shows that investors again have confidence in economic condition in Greece,” Strauch said. He noted that countries in stabilization programmes, including Greece, have implemented the most significant reforms from all industrial countries, according to the OECD. “This is the reason why these economies present the highest growth rates in the Eurozone. Greece, for example, managed to bring down its fiscal deficit from 15 pct of GDP to present a small surplus. When someone examines debt, he should not focus on its level, but more on the country’s ability to meet its obligations,” Strauch said.
He stressed the ESM’s scenarios on debt sustainability were based on the hypothesis that monetary policy will stabilise in the Eurozone and noted that the ESM’s clear task was to ensure stability in the Eurozone.