Barosso: Grexit will Break a Taboo and Set a Precedent

• 04.02.2015, 23:40
•  Europe,  World

The former European Commission president Jose Manuel Barosso commented on the situation in Greece and its talks with Brussels.

Barosso, who left his position in October last year, said in the BBC's Business Live programme that Greece's demands were "completely unacceptable to other countries."

He explained that in his opinion, "it is not helpful if Greece attacks countries that are trying to help it."

"We should remember that there are poorer countries that are lending money to Greece, so to propose a cut to their debt would be certain to receive a no from their partners." Barroso added.

Nations as Ireland, Portugal and Spain had come back from the financial brink and Mr Barroso said Greece could do the same: "There is nothing regarding Greece that prevents it being successful, but bad politics have created a lot of problems for Greece."

"It was not Germany or any other member of the EU that created the problems in Greece, the problems in Greece are structural: low productivity and previous governments," - Barroso said.

Having now a chance to express his opinion, not the official EU one, Mr Barroso said a Greek departure from the eurozone would still be "negative", but it would be less damaging now, because financial markets are much more confident than they had been in recent years. However, he added that a "Grexit" would still leave the idea of monetary union in doubt: "It breaks a taboo and sets a precedent."

It should be mentioned that Greece Internal Affairs Minister said, that the country will not be able to pay the IMF debt on April 9, thus the country's economy will be said to have default. Otherwise, accodring to the Minister, Greece will be demanding the 1,9 milion transh of the current bailout programme, which was delayed due to uncertainty in the negotiations.

It should be noted that "Grexit" will certainly affect badly not only Greece but also the EU. This will serve as a precedent and a lot of countries will start the process of quiting the Eurozone immediately. The whole idea of European unity will be lost.

To be more precise, the poorer states that, as Barroso mentions, help Greece through the EU, are actually waiting for a precedent, so they could also come up with some decisive steps. In this context it does not matter whether Greece is in or out of the Eurozone.