Greece\’s debts are still unsupportable, even though the country is relieved of half of them.
This is nonsense, tripe. Why is this man paid to write columns?
Greece has not been relieved of half of its debts.
Leave aside his opinions in this column (erm, current travails in the eurozone show that Britain should join it) and concentrate just for a moment on facts.
The Greek bailout gives a 50% haircut to private sector holders of Greek debt. It gives a 0% haircut to public sector holders of Greek debt.
Given that public sector holdings of Greek debt are around and about 50% of the total outstanding, the bailout relieves Greece of 25% of the debt burden.
Which isn\’t enough.
These numbers are well known, anyone who reads the FT for example will be aware of them.
So why are we getting columns about the bailout which don\’t even understand the basic maths of the bailout?