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Greece denies likelihood of default

Athens - Greece denied on Friday newspaper reports that one option in the debt crisis would be an orderly default with a 50% haircut for bondholders.

“Greece denies the reports,” a senior government official told Reuters on condition of anonymity.

Separately, the Finance Ministry said, in reaction to the reports, that the country was committed to implementing a second, 109 billion euro bailout agreed with its international lenders in July.

“All other discussions, rumours, comments, scenarios which are diverting our attention from this central target and Greece’s political obligation ... do not help our common European task,” Finance Minister Evangelos Venizelos said in a statement.

Two Greek newspapers said on Friday Venizelos outlined options to lawmakers, also including a disorderly default or the implementation of a second bailout package agreed between Greece, the European Union and the International Monetary Fund in July.
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