Greece must give up sovereignty to get more help - paper

ATHENS Sun Oct 9, 2011 10:38am IST

A Greek flag with a ''for sale'' sign is placed outside of the Interior Ministry during a blockade by employees in Athens September 29, 2011. REUTERS/John Kolesidis

A Greek flag with a ''for sale'' sign is placed outside of the Interior Ministry during a blockade by employees in Athens September 29, 2011.

Credit: Reuters/John Kolesidis

Related Topics

ATHENS (Reuters) - Greece is near bankruptcy and must give up part of its sovereignty to obtain the large debt forgiveness it needs to survive, a leading conservative member of German parliament was quoted as saying on Saturday.

Michael Fuchs, a deputy parliamentary floor leader for Chancellor Angela Merkel's Christian Democrats (CDU), also told Greek newspaper "Real News" that the debt-laden country might be better off outside the euro zone.

"You are very close to bankruptcy," Real News quoted Fuchs as saying in an interview. "We can not agree to a 'haircut' without terms and conditions and therefore, Greece must give up something, like some of its national sovereignty -- at least temporarily," added Fuchs, who is also the chair of the influential CDU small business group in parliament.

"I am personally not absolutely convinced that this (euro zone membership) is the best long-term solution for Greece to become quickly competitive," he added.

EU leaders will meet in Brussels on Oct. 17-18 to discuss revising a July 21 deal to provide Greece with a second rescue package. They may ask investors to accept losses on their holdings of Greek debt even larger than the 21 percent write-down set out in the July deal.

Fuchs had said on Monday that Greece may require a haircut of at least 50 percent.

(Reporting by Harry Papachristou; Editing by Alison Birrane)

FILED UNDER:
Photo

After wave of QE, onus shifts to leaders to boost economy

DAVOS, Switzerland - Central banks have done their best to rescue the world economy by printing money and politicians must now act fast to enact structural reforms and pro-investment policies to boost growth, central bankers said on Saturday.

Barack Obama in India

Reuters Showcase

Coal Mining

Coal Mining

India to open coal to commercial mining firms soon, minister says  Full Article 

RBI Loan Rules

RBI Loan Rules

RBI relaxes overseas loan recast rules   Full Article 

E-commerce Firms

E-commerce Firms

Amazon, e-commerce rivals fuel commercial property boom in India  Full Article 

Growth Forecasts

Growth Forecasts

Indian economic growth forecasts pegged back, despite rate cuts: Reuters Poll.  Full Article 

Uber is Back

Uber is Back

Uber back in Delhi; govt says must await approval.  Full Article 

Markets at Record

Markets at Record

Sensex rises to record after ECB stimulus programme.  Full Article 

Pharma Sector

Pharma Sector

Ipca Labs hit by FDA ban on plant for standard violations.  Full Article | Related Story 

Forex Reserves

Forex Reserves

India FX reserves at record high as RBI fortifies defences  Full Article 

QE for Euro Zone

QE for Euro Zone

ECB launches 1 trillion euro rescue plan to revive euro economy.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage