No credit line or further measures will be needed, ESM’s Regling say

A precautionary credit line is not necessary, European Stability Mechanism (ESM) chief Klaus Regling said on Wednesday in an interview with Skai TV adding that no additional fiscal measures will be needed.

Regling said that he believed everything was in the right place as a result of significant fiscal efforts over the last two years. “The fiscal package until 2020 has been determined,” he noted.

The head of the ESM predicted that there would be positive fiscal developments and added: “I think it is important to reduce tax rates and strengthen growth.”

Regling also expressed optimism that Greece will exit the programme in August adding that progress has been made as regards the implementation of the programme and the continuation of the reforms.

However, he cleared out that dangers always exist, but the markets are stable right now.

Referring to the third programme review, he said that there was something missing but it was eventually settled. Therefore, he said, the disbursement of the loan tranche will be normally made.

On the fourth programme review, he said that the ESM briefing was positive and added that progress has been made.