Eurozone calls for tighter oversight Eurozone finance ministers have demanded much greater oversight of Greece's economy in return for a 130bn-euro (£110bn; $170bn) bailout package. In a three-hour conference call on Wednesday, the ministers scrutinised Greece's planned budget cuts. The single currency bloc praised Greece's "substantial progress", but demanded more detail, including a full timeline for implementing the measures. A decision on the bailout is expected to be finalised on Monday. Greece faces a looming deadline in mid-March when it needs to make repayments on a 14.5bn-euro bond, or face bankruptcy. The EU and IMF have demanded that Greece make deep cuts and restructure its economy in return for the bailout. Read more here:- http://www.bbc.co.uk/news/world-europe-17054220
Yes I do know I've been banging on about this ages. Sorry about that. Don't continue to read on if you're already fed-up with it. I always used to think that actually, if Greece had a managed default the EuroZone could get on with sorting out it's 'solvable' finances. But, time has moved on, as it does, and it's now all change. The negotiations are definitely becomming 'Shakespearian'. Merchant and Venice come to mind. Time and tide wait for no man and for the EuroZone that is now. As for Greece they also should not have to wait until the after elections. What if it's decided not to hold elections? What on earth will happen with the March 20th bonds? The EuroZone talk about a “small” loan of €16 billion! Since when has €16 billion been considered small. Does anyone know just how much we pay these so called Euro Financiers to continue scrambling around to find a plan. I still believe that Greece could do a lot worse than a properly organised and managed default and EuroZone exit. It's just that I've come to the conclusion that the probability of either Greece or those Euro-Finance Ministers being able to do anything properly is low to zero. Where on earth does that leave UK? More importantly where does it leave my pension? and where does it leave the pound-peso rate? What about my dreams??
Keep on dreaming, because that's all what's left to do.......... Greece will most certainly default, it is only matter of when............ In a couple of years, some countries will beg to be released from the euro shackles... Your pension....??? is being redistributed to the greeks.........
I just feel bad about the whole thing as I think this will keep us in recession for some years to come. And yeah, I think Greece will default too.
They're a country who cooked their books to gain entry into the EU and the population in general "avoid" paying any tax. Is it any wonder they're (which means us) in this mess. It now seems to me they're throwing good money after bad.
That's called capitalism! Where we bail out businesses because they are too big to go bust, buy banks up for a billion and sell them for far less.. The redistribution of wealth from the poor to the rich, and then blame it on benefit claimants...
Greece was a basket case to start off with. No manufacturing to speak of, no real industry, apart from some local stuff, some food exports, mainly olives and oil, figs, someshipping that usually catches fire and sinks, and the biggest money earner, really is tourism. The problem is that in Greece it is always down to cash transactions, no paper trails for much business, apart from multinationals, and even then.... And only now, The greeks, using European money, are considering building some kind of fence to stop all sorts of illegals flooding in from Turkey... Closing the gate a bit late, or what...? Within 2 years the Drachma will make a return.............. Greece will be a pariah in Europe for a while, but as they get themselves out of the quagmire, they will be also out of Germany's clutches...
The odd thing is that they (the Eurozone) are negotiating haircuts for the existing creditors but asking those same creditors to lend the Greeks more money to cover immediate debt repayments, new loans on which the creditors will no doubt be asked to take a haircut on That's like lend me a tenner and I'll pay you back next Friday, then on Wednesday lend me tenner again mate so I can pay you back your fiver tomorrow
Whichever way you look at it European banking and finance is in big trouble. When the Greece default finally comes, the ripples will suddenly become freak tsunami's, with effects far greater and wide reaching than we can probably image. Just about every government, every finance minister and every bank,business and financial institution are lying about their risk exposure with Greece. Don't forget that the EU is still the single largest economy at $16.28 trillion. In addition to being the biggest trading partner with China, it is also accounts for 21% of US exports and $121 billion in exports for South America The remainingr PIIGS (Portugal,Italy, Ireland and Spain) will soon start thinking if they want to continue austerity and ever increasing expensive debt, or if they prefer to also default. Hey ho. Quite simply, too many countries have racked up too much debt and just don't have the means to pay for it. End of story.
