The lessons of the Greek crisis

In view of the rescue package for Greece, the daily Delo calls for reliable mechanisms for avoiding such scenarios in the future: "The rescue package for the member state is also the sternest warning we have had that the Stability and Growth Pact of 1997 by no means offers sufficient protection against excessive budget deficits and an increased debt burden. With the difficulties faced by Greece, which could soon emerge in other euro states, the question arises of how to avoid such cases in the future. In the wake of these first bitter experiences the time has now come for the Eurozone to think up a system for protecting its member countries and its own currency. For example a European monetary fund which could help debtor countries overcome their budget difficulties, and which would introduce stricter measures against excessive deficits. These have never been punished with the fines that were initially foreseen for persistent infringement of budget discipline."

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