ECB's Bini-don't underestimate impact of Greek default

FRANKFURT: A default for Greece would set a new precedent for a modern advanced economy and would have an impact on coun

Asked if it could be assumed the euro zone and its banking system could withstand a Greek default, Bini Smaghi said: "Similar views were held before the Lehman Brothers case. So those who say this (that a default could be withstood) have no idea about how contagion works."

Copyright Reuters, 2011

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