The Minister of State, George Gerapetritis, described the joint proposal between Merkel and Macron as “a very important step by the two leading European powers”.
In an interview with Blue Sky TV tonight, the minister emphasized two innovations in the proposal: that it was hot, new money, and that it would not be given on loan.
“Details remain to be clarified, it is clear that a very important step has been taken by the two leading European powers to issue a seemingly common bond, ie securitization of the two countries’ debt,” he said in an interview. the Minister of State to specify the following:
“It’s really a very important step, it’s about what we’ve been talking about lately, that is, about securitization. Of course, it is the two countries that have a lot in common financially, so it is not certain that it will work immediately positively for all the countries of the European South that have serious budgetary differences. The feeling I get is that from this securitization, that is, from the new money that will flow into the EU, there will be a proportional channelling to the countries that have been hit hard by this pandemic. If I understand correctly, we will have new money that was the demand of most countries, including Greece “.
A proposal containing two important dimensions said G. Gerapetritis, the first that, “this is new money and not leverage of the same resources that are in the EU, that is, hot money flows into the EU. which is essentially the analogy of what we have described as a Eurobond “, and the second that,” it seems that these are allowances and not loans, which would be charged accordingly to the debt. This is a very important move, we are generally satisfied with the reaction of the EU, now transnationally from the big countries, even with a significant delay “.
At the same time, the Minister informed about another “very important development in the discussions between the Chancellor (Germany) and the President (France) – and this has to do with the unified reserve of medical consumables for the fight against coronavirus.” It is a very important step, “he said, noting that the Greek prime minister was the first to raise the issue of EU accession. to acquire industrial property, ie patents from new vaccines, so that there is a flow of production not only in the countries where the vaccine will be found but also in the EU so that all countries can tolerate they can get this vaccine. ”