A sustainable Greek debt and completion of the second review of the Greek programme are necessary prerequisites for Greece´s inclusion in the quantitative easing, European Central Bank (ECB) President Mario Draghi said on Monday.
According to AMNA, addressing the European Parliament´s Economic and Monetary Affairs Committee in Brussels, Draghi explained that the sustainability of Greece´s debt must be addressed before the ECB can proceed to buy Greek debt.
This required that both the short-term and medium-term measures for easing Greek debt must be in place, he added, in order to enable a reliable assessment of Greece´s debt sustainability. Greece´s Eurozone partners have already given the go-ahead for short-term debt relief measures, which are currently being rolled out, but Greek authorities and Eurozone member-states are still in negotiations over the medium-term measures, he pointed out. Consequently, Draghi added, a reliable assessment of Greek debt sustainability required the completion of the second review.
Once the review was concluded, he explained, the ECB´s board will carry out its own, fully independent assessment of the sustainability of Greece´s debt.
"We can be closer to the goal of buying Greek debt if the second review is completed soon, otherwise we can wait," Draghi said.