Greece bailout package needs to be extended: Rob Davies column

Three-year tenor of bailout package doesn't give Greece the long-term stability it needs to address its fiscal problems.

Rob Davies, editor, Credit magazine

When the May issue of Credit magazine hits your desk, either Greece will be set to default or, somehow, Eurozone governments and the International Monetary Fund will have come up with a revised bailout package sufficiently large to convince investors a Greek tragedy can be avoided.

Despite the current bleak picture – at time of writing, the yield on five-year Greek government bonds was 12.1%, almost double the 6.085% yield at the start of April – the odds are marginally in favour of the second