The consequences of a Greek debt restructuring could be "catastrophic", European Council President Herman van Rompuy said in an interview, again ruling out such a move.
His comments are the latest in a series of denials by senior Greek and European economic officials that a debt restructuring could be in the offing as Greece has struggled to right its public finances.
"The result of a restructuring could really be catastrophic," van Rompuy told France's TV5 Le Monde. "A restructuring of Greece's debt is not on the table."
"The negative consequences (of a restructuring) are much more significant than the positive ones," he added.
The comments are in line with what van Rompuy said on a visit to Greece earlier this month, when he said a debt restructuring was "out of the question".
On Saturday, Greek Finance Minister George Papaconstantinou denied a media report that the International Monetary Fund believed his country's debt burden was unsustainable and had told European government and central bank officials that Athens should restructure next year.
Turning to Portugal, another European troublespot, van Rompuy said its main political parties must agree on austerity measures but he also complained that in many cases countries in difficulty "haven't been given enough time" to restructure.
by Christian Plumb
source: Reuters
