Panicos Demetriades, the new governor of the Cyprian central bank, has reversed his earlier statement that the euro crisis could be solved by Germany exiting the single currency, the Financial Times Deutschland reported.
In a letter to the Financial Times published in May 2011, Demetriades called upon Germany to ditch the euro.
”As an independent academic, I decided to make a lighthearted response to those who demanded that the weaker euro area members leave the euro area,” Demetriades told the FTD yesterday. ”I am wholly committed to the euro project and want the euro area to be strengthened.”
Demetriades will be sworn in as Cypriot central bank governor tomorrow. He will not participate in this week’s meeting of the ECB’s Governing Council, which is made up of the heads of the euro region’s central banks.
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