One German MEP has called out against any further financial aid for Greece. Hans-Olaf Henkel (ECR Group, Liberal-Conservative Reformists) warned that this would be “good money that is being thrown down the drain”.
In a debate on the state of play of the second review of the economic adjustment programme for Greece and the approval of further financial support consisting of €86bn, Henkel called for a “double decision”. He said there should be a massive debt relief for Greece and the withdrawal of the country from the euro.
Henkel, an economics professor and former president of the Federation of German Industry (BDI), explained that a high unemployment rate and the lack of economic prospects are good reasons for Greece to leave the Eurozone as quickly as possible in order to become more competitive again. Before that, however, it is necessary to grant Greece a substantial debt relief in exchange. A bankruptcy could be the first step towards improvement, according to Henkel.
“The euro is too strong for Greece and has led to a declining economic performance and destruction of jobs,” says Henkel.
“Let’s not delude ourselves, the money we gave Greece we will not see again. Let us free Greece from the burden of being part of the euro, because it has only harmed the country.”