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Greek Foreign Minister Dimitris Avramopoulos told the Greek parliament on Wednesday that he would revive a long-dormant claim for war reparations from Germany, indicating heightened tensions between the two nations and calling further into question the viability of the current euro area configuration.
Avramopoulos vowed that Greece would “exhaust every means available to arrive to a result…one can’t compare the times, but also not erase the memories.”
While the minister says that it’s wrong to link reparations demands to the debt crisis, the timing of the revival is surely associated with Greece’s economic suffering.
Germany contributes significantly to Greece’s €240 billion bailout package, which includes budget austerity conditions that have failed in helping Greece to grow its economy.
Economic conditions in the Eurozone’s south continue to deteriorate as Greeks, Spaniards and Portuguese suffer from dangerously high unemployment and severe strains on basic social services.
For the past five years, the troubled Eurozone has been a significant drag on global economic recovery, causing instability in international financial markets and contributing to low business confidence worldwide.
Eurozone fears have also increased the appeal of safe haven investments such as gold and silver, whose prices rose steadily during the euro area’s most tumultuous years.
5-year gold price in euro
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