A Restructuring In Greece May Be Bad, But The Opposite Would Be Worse

Greece needs to restructure its debt, or the eurozone will continue having to finance its position indefinitely, according to Martin Wolf writing in the Financial Times.

In summary: Wolf says that restructuring would be the lesser of two evils, even though it would be messy in the short-term. He says that because there is no clear indication Greece will be able to go back to the market anytime soon, the eurozone’s biggest players are essentially signing up to fund the country with no deadline date, if it doesn’t restructure. Further, IMF members outside of Europe may exit the deal, unwilling to fund such a bailout scheme, and leave Eurozone countries with the total costs.

Read the full story at the Financial Times >