But the weakness in bank lending also results from cutbacks in supply. Our surveys show that through late 2009, banks continued to tighten terms and standards for lending and to raise the rates they charge relative to benchmark rates. I expect bank credit to turn around only slowly as banks rebuild capital and become less uncertain about economic prospects.
The projections now suggest that Greek obligations to the official sector could in a couple outweigh Greek obligations to the private sector. That underlies why those in Germany say we should have private sector involvement. Do you not accept their logic? The position of the Governing Council, which is public, is that we are not taking any decision in this domain.