Dominique Strauss Kahn: Greece Unable To Pay Debt, Loss Unavoidable

Dominique Strauss Kahn: Greece Unable To Pay Debt, Loss Unavoidable

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The former International Monetary Fund’s Managing Director, Dominique Strauss Kahn, Sunday said Greece is unable to pay its debt and its creditors will have to take losses on the debt they hold.

“Greece got poorer, we can say Greeks will pay on their own, but they can’t,” Strauss Kahn said in an interview on French TV channel TF1. “There is a loss and it must be taken by governments and banks,” he said.

“Governments haven’t solved the problem, they just delayed it, and the snowball grows,” the former chief of the IMF added in his first comments since stepping down from his post.
Strauss Kahn made his comments as euro-zone governments increase pressure on their Greek partner to act more decisively to meet fiscal targets after talks with visiting international inspectors were abruptly suspended earlier this month as it appeared the country would overshoot its budget deficit for this year.

During the Sunday interview, Strauss Kahn said he intended to run for President in the 2012 elections before the New York incident. “I missed my appointment with the French people,” he said.
After what happened, he won’t participate in the campaign, he said.
(source: TF1, Dow Jones)