With Grexit Averted, Guess Whose Debt Outperforms?
Greece’s economic recovery is ratified in its low cost of borrowing, which is below the average for investment-grade borrowers anywhere in the world.
Greece’s comeback is complete.
Photographer: Aris Messinis/AFP via Getty Images
Remember Grexit? It was 2015 and unlike Brexit a year later, the pejorative for Greece is a fading figure of speech coined by London news media now belatedly acknowledging their own folly contributing to the UK's calamitous vote to leave the European Union.
Just about everyone back then said the newly elected government of Prime Minister Alexis Tsipras would default after promising to end five years of reduced government spending during a depression while securing the final $8.7 billion bailout from resistant EU creditors. Former Federal Reserve Chairman Alan Greenspan told the British Broadcasting Corp. that “it was just a matter of time” before Greece abandoned the monetary union and the euro disintegrated. George Soros, the billionaire chairman of Soros Fund Management, said in an interview with Bloomberg Television around the same time that “Greece is going down the drain.” Marcel Fratzcher, the Oxford- and Harvard-educated former head of policy analysis at the European Central Bank and president of the German Institute of Economic Research, called Greece a “political and economic catastrophe.”