The federal government of Germany considers the possibility of a new aid package for Greece to be a likely possibility, according to the German news agency DPA.
The news agency claims that in an interview to the Saarbrücker Zeitung newspaper, German leader Angela Merkel has stated that Athens must not relax its rate of implementing reforms, while insisting that nothing conclusive can be said about a program that still has one year before completion.
The SPD’s Carsten Schneider warned that Germany might be in danger if the European Support Mechanism is used for refinancing banks. Mr. Schneider also claims that a new Greek aid package will be needed much sooner than Merkel and Schäuble’s estimation of a mid-2014 loan.
The Vice President of the Left Party Sahra Wagenknecht accused Merkel and Schäuble of “buying time” by temporarily stalling the debt haircut. Mrs. Wagenknecht believes that a haircut is inevitable and will burden German taxpayers.
