The expert did not rule out the repetition of the existential crisis of the Eurozone

© Photo : official website EUФлаги of the European Union and the Euro icon. Archive photoThe expert did not rule out the repetition of the existential crisis of the Eurozone© Photo : official site EU

The Eurozone has survived the global financial and economic crisis and return to economic growth, the five countries of the currency bloc, taking external financial help, out of these support programs, however, all this does not mean that the existential crisis of the Euro can not be repeated, told RIA Novosti senior economist at ING, Carsten Brzeski.

Ten years ago, on the night of Monday 15 September 2008, the fourth largest investment Bank of USA Lehman Brothers has filed a bankruptcy petition and a request for protection from creditors. The bankruptcy spurred a massive global financial and economic crisis. Eurozone GDP in 2009, for example, fell by 4.5%.

Five countries in the currency bloc since 2010, were forced to seek external financial assistance. In the Euro area was established special funds to the stability of the European financial stability Fund (EFSF), he was replaced by the European stability mechanism (ESM). The latter now operates on a permanent basis and is ready to provide financial support not only to the Eurozone countries, is in a difficult situation, but the banks and the currency bloc.

«If we look at the macro data – the Eurozone economy returned to growth. From the point of view of economic growth, the labour market crisis is finished,» said Brzeski.

According to Eurostat, after the disruption of annual growth, GDP in the Eurozone rises for fifth consecutive year — from 2014 to 2018 inclusive. The European Commission predicts growth for 2019.

In August of this year, after eight years of external financial assistance, Greece finally came out of the support. She closed the list of the five countries in the currency bloc, which also included Ireland, Portugal, Spain and Cyprus, which also took foreign loans in the crisis period. Over the years, five Eurozone countries have received hundreds of billions of euros of loans from the EU, the ESM, the EFSF and the International monetary Fund (IMF). The funds they will give many more years. This period was said about the so-called risk of the existence of the Eurozone, coupled with the implications of the theoretical exit of the country from the currency bloc or its default.

«This part of the crisis is complete, because every country is out of support programmes. But this does not automatically mean that such a crisis will never appear again. I think the existential crisis of the Euro can always come back,» believes Brzeski.

The economist noted that the past crisis showed that «unimaginable» is possible: was the bankruptcy of a large Bank and a major crisis with a huge impact on the economy. «So now everybody knows that the unexpected can always happen,» he said.

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