European Central Bank and Germany harden the speech against … – LaRepública.pe

European Central Bank and Germany harden the speech against … – LaRepública.pe

Sunday, January February 2015 | 4:30 a.m.

No yields. Chancellor Angela Merkel rules out debt downgrade. (Photo: AP)

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German Chancellor Angela Merkel ruled yesterday downgrade Greece’s debt and an official of the European Central Bank (ECB) threatened to cut funding to banks Greece if Athens does not agree to renew its bailout package.

The economic power of the euro area and the ECB are taking a hard line with the new leftist government of Greece, whose leader Alexis Tsipras swept Sunday’s elections promising that had completed five years of austerity, “humiliation and suffering.”

“has already been a waiver by the private creditors. Greece has already been exempt from paying thousands of million (…). I do not foresee a new cut, “Merkel told German newspaper Die Welt in an interview published in its Saturday edition.

” Europe will continue to show solidarity with Greece, as with other countries particularly affected by the crisis, if these countries are committed to making their own reforms and savings efforts, “Merkel said in a veiled threat to Athens.

The new Greek government began negotiations on its rescue European partners on Friday refused to extend the program or cooperate with international inspectors who oversee them.

Meanwhile Erkki Liikanen, member of the Governing Council of the ECB, said the funds could cortársele Greece if exits.

“The extension of the program in Greece expire at the end of February so it must be some kind of solution, otherwise we can not continue giving loans,” Liikanen said, also governor of the central bank Finnish public broadcaster YLE.
“I do not think anyone can hide from the realities of the economy,”

KEY

. The Greek debt currently amounted to 320,000 million euros, representing a ratio of 175 per cent in relation to its GDP, the second highest debt in the world after Japan.