Draghi: Greece, serves agreement very soon. Default? We … – Il Sole 24 Ore

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This article was published June 15, 2015 at 15:33.
The last change is the 15 June 2015 at 17:08.

On the possible default of Greece, “we have all the tools to handle the situation better.” Although, with unpredictable events “will enter uncharted waters,” when “we can not predict or imagine the long-term consequences” of a Grexit for the future EUROPEAN UNION. Thus, the ECB president, Mario Draghi, in a hearing in the economic affairs committee of the European Parliament, in Brussels.

The stalling of the negotiations, therefore, can only worry about the Eurotower, and for this “serves an agreement very soon.” But the choices on the conclusion of the program (the second rescue package, which expires at the end of June after an extension of four months in February, ed) at this point are entirely political, must be found within the Eurogroup, and not compete central bankers. Moreover, “the ball at this stage is in the court of Athens” and so far the ECB has played his entire role.

According to Draghi, “the ECB is doing everything it can to facilitate an agreement. It serves not only the interests of Greece but also for the euro area as a whole. ” Ergo, the liquidity to Greek banks, it continued Draghi, will be provided “until they are solvent and have adequate collateral”. The liquidity provided through the emergency program Ela “amounted to EUR 118 billion, double what it was in late 2014, and corresponds to 66% of GDP greek, more than for any other country in the eurozone,” he said. As for the roof to purchases of Greek government bonds, “there should be a credible prospect of a successful conclusion of the current revision” of the program and its “consequent implementation, which would involve the payment of funds by the countries of the Eurozone ».

Dramatic situation in Greece
“The economic situation in Greece is dramatic,” but “it is not the responsibility of other eurozone countries and the European institutions,” he ECB President then responded to the deputy greek Marias, which recalled the figures: 223 billion of loans bi and multilateral, “more” Ela, “the more money the IMF,” “most of the haircut 53.3 % “in 2012.

And to those who asked what would happen if Greece fails to pay at the end of June deadlines from 1.6 billion to the IMF, Draghi replied:” I do not want to speculate on a possible failure payment “of the loans owed by Greece” because we had the word of the Greek authorities that they will be honored in full and according to the timetable established. ”

Marco Valli (M5S): icon for speculators to Gordon Gekko
You ‘unemployment a major cause of inequality “and” the best solution to reduce inequality “is to” reduce interest rates, “he then said Draghi responding to the Parliamentary Assembly of the M5S, Marco Valli, who accused him of being” an icon “for speculators” to Gordon Gekko. ” ECB President concluded replication in Italian: “We are aware of the problems and we try to do our best. If we can not, we tried. ”

Monetary Union “unfinished”
Draghi has also launched his gaze beyond the quota. Monetary union “will be an unfinished construction until we have the tools to make each of its members sustainable in terms of economic, fiscal and financial.” We need a “big jump,” he added, using the English expression “quantum leap.”

The recovery is proceeding at a moderate pace
“The data clearly confirm that economic recovery proceeding at a moderate,” but is expected to accelerate. “Now – said Draghi – we see encouraging signs that private investment is also on the rise, a trend that feeds the hope of a recovery there is increasing. Our measures are making their way into the real economy. ” The expected inflation is low coming months, the increase will be decided later this year. The financial market conditions remain favorable and it is normal that after the start of an extensive program of Quantitative easing it registers some volatility, said the president of the European Central Bank.

Q and, risks contained
However the risks associated with Qe “are now quite content,” but “we monitor the situation closely.” Particularly in the housing market, “we do not see signs of overvaluation.”

Lunch with Juncker on Greece and eurozone reform
Draghi started his speech at the European Parliament After a working lunch at the headquarters of the European Commission with the EU executive’s president, Jean-Claude Juncker. Central themes of the meeting the draft reform of the Eurozone and the situation of the negotiations with Greece, after the new split between Athens and creditor institutions. Tomorrow is a new agenda in the work room of the report of the four presidents to reform the euro zone. In addition to the president of the ECB and Juncker attended by the President of the EU Council, Donald Tusk, the Eurogroup, Jeroen Dijsselbloem, and that of the European Parliament, Martin Schulz. (Al.An.)

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