SEB As it stands today, it Grexit applicable – Swedish newspaper Svenska Dagbladet

SEB As it stands today, it Grexit applicable – Swedish newspaper Svenska Dagbladet

Greece’s new government is not particularly keen on joining the established loan conditions. They want the old bonds will be exchanged for substantially less expensive new loans and get money for a new growth programs. The tone prior to the extraordinary meeting in Brussels on Wednesday is high.

– If you look at where we stand today, it Grexit applicable, says Robert Bergqvist, chief economist at SEB.

A Greek exit from the euro is included as one of SEB’s scenarios in the bank’s forecast presented on Tuesday. The main scenario is that Greece will find a compromise with the so-called troika, EU, ECB and IMF debt relief.

– There is a willingness to make concessions from the Eurogroup, to ease the Greek debt, but you will not to accept it without any quid pro quo, says Robert Bergqvist who think think it is worrying that the Greek government does not seem to want to go on any quid pro quo.

At the same notes he that one can expect a high pitched both from the Eurogroup side and from the Athens side, facing the extraordinary meeting.

– I hope that what we see is part of the game for the meeting tomorrow. So far, it konfrontration. And it is a worrying development.

Where negotiations landing at last is difficult to predict, however, it is important to speed up. Robert Bergqvist estimates that it only has a couple of weeks.

– In a few weeks it has been out of money. Greece is dependent on support from Europe. This applies to speed up negotiations in order to maintain a lifeline, he said.

He notes that it now feels as if the Greek strategy is to cake and eat to have it .

– It is not.

If Greece were to leave the euro judge Robert Bergqvist to spread the risks are great. He raises a warning finger to underestimate the problems it causes. There is a risk that others catch on, such as Portugal.

What would happen to the euro?

– The ball rolls back to Germany, if they are prepared to support the system of concessions and perhaps with equity. You want to keep the euro, but at what price? Somewhere, a pain threshold for what the Germans can accept, says Robert Bergqvist.

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