Former French President Valery Giscard d’Estaing expressed the opinion that a viable solution for Greece would be the country’s exit from the Eurozone in order to devalue its new national currency and increase its economic competitiveness, although he firmly ruled out a Greek exit from the European Union. In an interview with French newspaper “Les Echos,” d’Estaing highlighted that “the fundamental question is whether or not the Greek economy can recover and prosper with a currency as strong as the euro. The answer is clearly negative,” adding that “Greece needs to be able to devalue its currency.” As he explained, such an agreement could be achieved “on good terms” and would leave the possibility open for a future return to the single currency. The Former French President characterized Greece’s adoption of the euro in 2001 as a “mistake,” explaining that he opposed it in the first place: “I was against it at the time. The Germans too. They only accepted it because others, France in particular, insisted on it.” d’Estaing was the President of the French Republic between 1974 and 1981, and was among the strongest supporters of the European Union’s enlargement in 1981 when Greece became one of the Union’s member-states. As he explained, a Grexit would not necessarily entail the country’s departure from the European Union, bringing up the example of countries that have chosen not to adopt the single currency, even though they are members of the Union. “It would be absurd to say this is a failure of Europe. Greece still has its place in the European Union. By leaving the euro, it would only be joining the countries like the United Kingdom, Sweden, the Czech Republic etc. that never adopted the single currency. More importantly, this exit would allow Greece to return at a later date,” he underlined. According to d’Estaing, this orderly exit can take place peacefully, in everyone’s best interest. “It is what I would call a ‘friendly exit’,” he stressed. Regarding the newly elected Greek government‘s policy, the French statesman said they “rely on a devaluation of the currency. Quite simply because the program it was elected on is impossible to execute with a strong currency. Greek production cannot regain its competitiveness with the euro at its current strength. As a result, it cannot implement its economic program, including raising the minimum wage and increasing social benefits.”
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