To The
Right Honorable European Central Bank President Mario Draghi
From: Athinarayanan Sanjeevraja
Date: November 21, 2011
RE: Euro Debt Crisis
Suggestion: Let’s start
showing the world that we are really a Union.
Good Morning President. I
stalwartly disagree with ECB executive board members are continuing to say that
letting banks fail to save tax payers money and Eurobonds are unsafe assets.
Both are absolutely erroneous Mr. President. Let me explain, if banks fail this
would unsettle the financial market worldwide. In fact it ends up costing tax
payer much more. The pragmatic solution is probably for the creditor to assess
the ability and willingness of the debtor to pay. If creditors find there is
solvent or liquidity problems, it will be in the creditors own interest to
extend the maturity of the loan of the debtors. This is one of the common
pragmatic solutions which are following around the world. As far as the
Eurobond issue is concern, it is an important first step towards political
union to showing the world that we are really a union. It cannot solve all
problems of the euro zone. Indeed, it would lower average funding costs and
strengthen the competitive position of the Euro. I draw the conclusion that
issuing Eurobond is an effective solution. Read Eurobonds to understand more http://www.athinarayananadvisoryauthority.blogspot.com
. The ECB buying any state bonds won’t solve anything. You merely postpone the
problems. Europe needs a comprehensive
solution to solve the debt crisis. That is Eurobond.
Thank you very much for
letting me states my opinion.
I am Athinarayanan Sanjeevraja
with great respect of you.
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