Grexit to Create Huge ‘Holes’ in German Budget – German Newspaper

Finance Minister Schäuble earlier asserted that the Greek crisis will have no serious consequences for the federal budget. However, President of the German Federal Bank Jens Weidmann views the situation in a different way.

Greece’s withdrawal from the Eurozone is likely to create huge ‘holes’ in the federal budget planned by German Finance Minister Wolfgang Schäuble (CDU).

Last Wednesday, Bundesbank President Jens Weidmann warned about the consequences of a Grexit for the Bundesbank’s profit and, hence, the German federal budget, Handelsblatt reported.

According to Weidmann, Germany will have to bear heavy losses in the event of a Grexit. The Bundesbank has already prepared reserves of 14.4 billion euros in the event of a euro crisis. But this would not be enough, the newspaper wrote.

Full article: Grexit to Create Huge ‘Holes’ in German Budget – German Newspaper (Sputnik News)

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