How might successful Greek debt renegotiation affect Europe?

Feb 03, 2015, 07:05 PM

Episode image

the new Greek finance minister is on a tour of European capitals - aiming to win support from other governments for his plan to ease the country's debt burden.

Yanis Varoufakis says he's seeking some "smart debt engineering" to reduce what Greece has to pay. After meeting private equity investors in London he told the BBC that a new deal was essential to turn a new page for his nation.

So with support for anti austerity parties growing, European politics are changing . But could this signify the start of a new economic era in Europe too? Or could softer terms for Greece cause a backlash around rest of the continent?

A question for Roger Bootle from Capital Economics.