david cohn '19   Summit of Greek Creditor Organizations, 2019 GDN@worldmun.org

david cohn '19
Summit of Greek Creditor Organizations, 2019 GDN@worldmun.org

 

David is a senior at Harvard studying Economics, and is very interested in the intersection of government and politics with Economics. David grew up in Charlottesville, Virginia, and enjoys hiking in the nearby Blue Ridge Mountains with his twin sister when he's at home. This is David's second time on the WorldMUN staff but his first time as a chair – he served as the Undersecretary General for Finance and Operations at WorldMUN 2018 in Panama, and David has also participated in Model UN in a number of other different capacities at Harvard. David is the president of his fraternity at Harvard, and hopes to bring the same family attitude and atmosphere to his committee at WorldMUN 2019. Outside of this, David enjoys tutoring students in economics, playing cello in the Harvard Baroque Orchestra, and traveling with his family. He is very excited to help bring an incredible conference to Madrid next spring!

Topic: Greek Debt Renegotiations

Greece’s debt crisis is one that has grown and evolved over many years. In 2007, the global financial crisis put massive stress on Greece’s ability to service its own debt, causing the country to auction off major state assets. In 2009, newly elected Prime Minister George Papandreou revealed that Greece’s budget deficit had reached 15.4% of GDP, substantially larger than originally thought. A number of international institutions stepped in to assist Greece. In 2010, the IMF delivered the first bailout of 110 billion euros on the condition that Greece accept austerity measures. In 2012, the EU and the IMF agreed to a second bailout, worth 130 billion euros, which included an over 50% haircut for Greek creditors and new austerity measures. During this time, Greek citizens increasingly rejected the political mainstream. In 2012, a majority of Greeks voted for fringe parties, and in 2015, the far left Syriza party won a snap election. Prime Minister Alexis Tsipras entered into negotiations with Greek creditors as Greece missed its payment to the IMF. Tsipras accepted a number of economic reforms in exchange for a third bailout. In 2017, Greek creditors agreed to further debt relief.

Greece’s GDP continues to fall, and unemployment sits over 20%. Greece has a number of payments due over the next few years, and it does not appear that they will be able to meet debt reduction targets. You, as representatives of the largest Greek debt stakeholders in the European Central Bank, European Commission, and International Monetary Fund, will consider whether or not to renegotiate with Greece, and if so, what measures to offer. The members of this council will consider larger questions like the importance of the euro, the responsibility of European nations to each other, and the best strategy to put Greece on the path to economic independence.