Brussels warns on Greek debt sustainability

EU Commission headquarters in Brussels - The Times

eKathimerini — The European Commission expresses serious concern over the sustainability of the Greek debt in an analysis attached to its report on the completion of the second bailout review.

Brussels joined the International Monetary Fund in asking for additional measures to lighten the national debt so as to render it sustainable. The Commission refers to the need for measures that would build on the conditions and commitments included in the Eurogroup decisions on May 25 and June 15.

That attachment to the compliance report, revealed on Tuesday by Bloomberg, stresses the need for extensions to bond maturities and the grace periods for the premium and the interest; it also calls for the return of the profits of national central banks from the Greek bonds they held.