The European Central Bank (ECB) does not have the right to lend to states! Whereas the European Central Bank lent heavily to the banks in 2008-2009 to save them from bankruptcy, it is not allowed to do the same with regards to the public authorities of the Member States. It’s a shame.
Is important to note that Article 123 of the Treaty of Lisbon stipulates the rules out the ECB and central banks of Member States from undertaking "direct acquisitions [from public authorities, other bodies or public companies of Member States ] of debt instruments”.
So, no "direct" acquisition of government debt (and no help to states) but at the same time preferential loans are granted to banks which are required to use as a collateral... securities obligations of States (including the Greek state!). Beautiful hypocrisy the one allowed by this mechanism of the Lisbon Treaty.
