The Full Brady
Financial markets are increasingly certain that a Greek debt restructuring is coming. Fortunately, there is a way to avoid the worst: emulate the Brady Plan, under which commercial banks, together with official creditors, restructured and took haircuts on the debt of Latin American and Eastern European governments in the 1980’s.
https://prosyn.org/FdV0Sb8
BERKELEY – Financial markets are increasingly certain that a Greek debt restructuring is coming, and European policymakers fear the worst. “In the worst case,” as Juergen Stark, a member of the European Central Bank board, has put it, “a debt restructuring of a eurozone member could put the consequences of Lehman’s bankruptcy in the shade.”