Germany made good money helping GreeceStaff Writer | July 13, 2017
Credit and bond purchases that benefited Greece also brought in revenues to Germany, to the tune of €1.34 billion, according to a media report.
Europe The Süddeutsche Zeitung:
One loan by the German government-owned development bank KfW in 2010 to Greece yielded net gains of €393 million through interest.
Frankfurt’s European Central Bank (ECB) also launched its now-defunct Securities Markets Programme (SMP) to purchase government bonds to help financial crisis-hit countries like Greece.
Each year, these bonds earn profits, which then the ECB distributes to central banks of eurozone states.
Since 2015 the German SMP profit share totalled €952 million.
Eurozone states actually decided in 2012 to pay out profits from the bond purchases to Greece.
But since the second Greek relief package expired in 2015, the profits from 2014 were blocked and placed in a special account. ■