Association of German Banks on the outcome of the Greek election
Michael Kemmer, General Manager of the Association of German Banks: “Greece now quickly needs an effective government that can swiftly implement the reforms agreed in the third rescue package. But it is at least just as important that the new government embraces these reforms and openly promotes a comprehensive reform course, because the public sector and the economy in Greece urgently need to be modernised. Yet there is only a realistic chance of achieving this if there is as broad a consensus as possible among the Greek people that the reforms are absolutely essential.
Many Greek politicians clung too long to the idea that the country could manage without any structural change, believing that it could instead “outgrow” its problems by way of a debt haircut and additional government spending. Not only during the past nine months has this proved to be a bitter and extremely costly illusion – both for Europe and, above all, unfortunately for Greece and its citizens.”