The European debt problem that became increasingly serious toward the end of last year Let me turn to the European debt problem, which has been the focal question now. The problem started with the fiscal problem in Greece.
In October 2009, as for Greece’s fiscal deficit, it became clear that the existing statistics did not reflect the actual conditions and the actual deficit was much larger. Therefore, skepticism spread about whether Greek government bonds could be orderly redeemed, and the prices of Greek government bonds fell substantially. In other words, yields soared and have recently been hovering above 30 percent.