“Germany, which has taken a tough line on Greece, has profited from the country’s crisis to the tune of 100 billion euros ($109 billion), according to a new study,” published on Monday, AFP reports.
Each time investors got bad news about Greece, they rushed to the ‘safe haven’ of Germany, with the interest rates on German government bonds falling, according to the study from the private, non-profit Leibniz Institute of Economic Research.
Every time financial markets faced negative news on Greece in recent years, interest rates on German government bonds fell, and every time there was good news, they rose,
according to the research house.
Germany’s Finance Minister Wolfgang Schaeuble who has always been against writing off the Greek debt pointed to his own government’s balanced budget.
The balanced budget, however, was possible mainly as a result of Germany’s interest savings through the Greek crisis, the study claimed.