Visiting French Economy Minister Bruno Le Maire reportedly presented a “compromise solution” over the Greek debt issue in talks with the country’s top leadership in Athens on Monday.
In statements after meeting with Greek Prime Minister Alexis Tsipras, the new French minister said “all necessary actions” are being taken to find a solution at Thursday’s Eurogroup.
Essentially, the French proposal favors a mechanism whereby Greek GDP growth is pegged to debt relief, i.e. if GDP growth accelerates then debt relief is rendered unnecessary, and vice versa. Press reports last week had first hinted at the proposal, which Paris expects to table at the Eurogroup meeting in Luxembourg on Thursday.
Additionally, he said it was in Europe’s interest and in the interests of Euro zone stability to achieve an agreement at the Thursday meeting, while mentioning that the current Greek government has taken significant reforms.
