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Paris: France’s central bank chief on Wednesday said Greece will descend into “riots and chaos” if no debt deal is found soon, media reported.

“The Greek economy is on the edge of catastrophe. A deal must be made on Sunday because it will be too late after that and the consequences will be serious,” The Local news portal cited French central bank chief Christian Noyer as telling a French radio.

He added that “there could be riots… and chaos in the country”.

Noyer said it was “impossible” to reopen Greek banks while confidence was so low, saying there would be an “immediate run” on tellers.

The head of the French central bank is a member of the European Central Bank (ECB)’s decision-making governing council.

“We have rules and we have interpreted the rules to Greek’s limit to maintain a lifeline to their banks, but we cannot continue indefinitely to increase the risks we are taking,” he said.

After Greece failed to propose a fresh debt deal on Tuesday, the eurozone gave it until Thursday to present new proposals to secure a deal with creditors.

A meeting of all 28 members of the European Union (EU) will be held On Sunday — a day after the new Greek proposals are expected to be discussed by the eurozone finance ministers.

Earlier, European Union Economy Commissioner Pierre Moscovici and President Jean-Claude Juncker said Europe wanted to stop Greece falling out of the eurozone.

(IANS)


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