(Greece) – Prime Minister Alexis Tsipras renewed his efforts to push for Greek debt relief. He took to his personal Facebook page to express his opinions. August 8, 1952 marked the conclusion of talks concerning the London Agreement on German External Debts. Tsipras has always said that Greece would have a difficult time moving forward economically unless they received some debt forgiveness from their creditors. He said that the creditors must, “rise to the occasion” and grant Greece debt relief. It is the 63rd anniversary of the London Agreement.
Tsipras said, “On this day, in August 8, 1953, a nearly six-month negotiation between Germany and its creditors was concluded, with the signing of the London Debt Agreement. The debt-ridden and war-torn Germany enjoys the ultimate move of solidarity in modern European history by having 60 percent of its foreign debt cancelled, its internal debts restructured and a trade surplus clause.”
He believes that just as Germany’s war debts were forgiven, so should Greece’s massive debts. He also said that, “The deal is implemented with Greece’s signature. Since SYRIZA was in the opposition, but also today as government, it has raised the issue of the Greek debt, having won significant ground with specific results reflected in Eurogroup’s decision on May 24.Europe must rise to the occasion and turn its gaze to the future by signing a new social contract that will guarantee the prosperity of its peoples.”
Greece has been in a recession since before the first bailout, which took place in 2010. The International Monetary Fund has yet to support Greece third bailout since that time. Like Tsipras, they also believe that Greece needs unconditional debt relief. Back in 2016, representatives from the IMF have said that, “The implementation of debt relief should be completed by the end of the program period.” They have expressed concern that the country wouldn’t be able to repair themselves economically without debt relief.