FXstreet.com (Córdoba) - The German newspaper Der Spiegel has reported that the troika could be considering a proposal on a Greek debt haircut, aimed at bringing down its massive debt load. This time, taxpayer money from Germany and other donor countries would be involved.

Resistance is substantial. The German government quickly responded, ensuring that such haircut wouldn’t be economically viable.

German government spokesman, Steffen Seibert, and Finance Minister Wolfgang Schäuble, have come out against these rumors assuring that the laws of their country prohibit presidents donation credits or guarantees to countries that have high chances of default.

To Seibert, is illogical for public creditors’ to support a haircut when Greece is negotiating aid, and has been given a two-year extension to meet its deficit targets.