Sweden finance minister: Grexit may come before next summer

City A.M. Reporter
GREECE could leave the euro within the next six months, Swedish finance minister Anders Borg warned yesterday from Tokyo, where he was attending the International Monetary Fund’s annual meeting.

Borg said it was probable that the debt-laden nation would leave the Eurozone at some point and added that an imminent exit could not be ruled out.

German finance minister Wolfgang Schaeuble said yesterday that Greece would not default, and he warned that if Athens did exit the Eurozone it would be damaging not only for the zone as a whole but also Greece.

“I think, it will not happen that there will be a state bankrupt in Greece”, Schaeuble said at a meeting with business leaders in Singapore.

“Greece has to take a lot of very serious reforms and this will harm. Everyone is trusting that the Greek government is doing what is necessary.”

“We do not see that there is any sense to speculate on Greece leaving the euro,” Schaeuble said. “That would be very damaging for Greece and the euro.”