VIENNA (AFP) ― A Greek exit from the eurozone would be “a disaster” for the Greek people, European Commission head Jose Manuel Barroso told Tuesday’s edition of Austria’s Die Presse newspaper.

“For the Greek people, it would be a disaster. We know what happened to the people of Latin America when they went bust,” he said.

It would also have dire consequences for other eurozone members, “it would provoke a domino effect,” he added. “And it would then be likely we’d have to increase aid given to other eurozone countries,” he said.

Barroso stressed there could be no alternative to “the enormous savings” required of Greece as a condition for receiving a new financial aid package.

“Of course we see that such austerity programs bring about a recession,” but this is the only way Greece can “regain competitivity,” he said.

“Bankruptcy would just poison the atmosphere for investors. And then there would be neither growth, nor economic stimulus,” according to Barroso who was on a two-day visit to Vienna.