EU Leaders Ponder Greek Exit Contingency

ROME/HELSINKI (Reuters) – At least half of euro zone governments as well as banks and large companies are making contingency plans in case Greece decides to leave the single currency area, even though the preferred option is still for Athens to keep the euro.

Italy’s Deputy Economy Minister Vittorio Grilli said his country was ready for such a possibility, if Greek voters on June 17 give power to parties that reject reforms agreed with the EU and IMF in exchange for emergency loans.

Greece’s deficit means that without the EU/IMF money, which would stop flowing if Athens were to tear up the agreement on reforms, it would not be able to pay salaries and would have to leave the euro zone and start printing its own currency.

“We always have to be ready in any case,” Grilli said, when asked by reporters if Italy was preparing for a Greek exit. “All options are possible, though our objective is to avoid that happening.”

Senior European Union officials have told member states to prepare contingency plans in case Greece quits the euro zone, sources told Reuters on Thursday.

European Union leaders have urged Greece to stay the course on austerity and complete the reforms demanded under its bailout program.

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