Jens Weidmann: Greece Must Keep Bailout on Track

Jens Weidmann

Greece must get its reform program back on track if the so-called troika of the European Union, IMF and European Central Bank judges that it has deviated from the plan, Bundesbank President Jens Weidmann was quoted as saying on Wednesday.

Weidmann told a Germany magazine in an interview that Sunday΄s Greek election, which the pro-bailout party New Democracy narrowly won, had not changed the fact that Greece needed to stick to the bailout plan to get further financial aid.

“There is an agreement with Greece, and that counts,” Weidmann, one of the most powerful members of ECB΄s Governing Council, told the magazine according to Reuters.

“If there are discrepancies (from the program), we have to analyze the causes, but first of all, it will be up to Greece to demonstrate that there is a way to repair it.”

Euro zone officials have begun to accept that Greece΄s program may be impossible to implement without changes, as the country is already off track and its economy is sliding deeper into recession. The new government΄s first mission will be to convince officials from the EU, the ECB and the International Monetary Fund to sign off on the next installment of aid from the bailout.

(source: Reuters, Capital)