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The comments by members of the European Central Bank’s governing council indicate that the risk of eurozone fragmentation is being taken increasingly seriously by the region’s policymakers. They mark a significant shift at the ECB, which has previously argued that European treaties do not allow for an exit and that a break-up would cause incalculable economic damage.
Along with policymakers across the eurozone, the ECB has stepped up the pressure on Greece to stick to its internationally agreed bailout programme – and warned that reneging would lead to outside financial support being cut off.
In contrast to this weekend’s comments, last December Mario Draghi, ECB president, told the FT that a eurozone exit would result in a substantial breach with the existing treaty with incalculable consequences for the bloc.
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