Bank of England official worries about possible lack of Greek debt settlement

A Bank of England official stated that a possible failure to find a political solution to the Greek public debt may lead to a market crisis, according to Bloomberg.

A negative result in these negotiations could cause a reevaluation of the danger in financial markets, said BoE’s Alex Brazier. “I do not consider Greece as a big danger, but it could potential be the cause of a market re-evaluation”.

“I cannot claim to know how possible a Grexit can be … Even though the financial matter is very simple -there is a huge debt which must be settled-, the way that this is handled is political and I do not think that I can make any guesses as to the future”.

Brazier stated that the British banks’ risk in Greece is small, about two billion UK pounds.