Greece on ‘Razor’s Edge’ as Debt Talks Drag On. Greece’s efforts to win a second bailout from international creditors teetered in the balance as negotiations in Athens failed to clinch an agreement.
“The distance between success and failure, which could come from misfortune or misunderstanding, is very small,” Greek Finance Minister Evangelos Venizelos told reporters in Athens yesterday after consultations with euro area finance ministers. “We are on razor’s edge.” While agreement had been found on issues such as bank recapitalization and state asset sales, the government and the so-called troika of international creditors are still at odds over labor reforms and fiscal measures for this year. The talks with euro-area finance ministers were “very difficult,” Venizelos said yesterday. Venizelos and Papademos convened with leaders of the three political parties backing Papademos after “intensive” meetings with representatives of international creditors earlier in Athens today.
Bond Payment ‘Pandora’s Box’ Greek Yields Minimum Wage. Greece Warns It Will Soon Be In "Condition Of Absolute Poverty" Germany drawing up plans for Greece to leave the euro. German minister shows sympathy for Greeks' plight. Top German Economist: 'Restructuring Greece Within the Euro is Illusory' - SPIEGEL ONLINE - News - International. Time Is Running Out for Greece to Accept Bailout Conditions, Merkel Says. European leaders stepped up pressure on Greek politicians to meet the conditions of a 130 billion- euro ($171 billion) bailout, saying time was running out.
French President Nicolas Sarkozy met German Chancellor Angela Merkel in Paris today as Greece’s interim prime minister, Lucas Papademos, prepared to negotiate with the so-called troika of international lenders in Athens for a second day. A gathering of Greek political leaders was delayed until tomorrow as they struggled for a unified response. “I can’t quite understand why we need a few more days,” Merkel said today in a joint briefing with Sarkozy. “Time is running out.” With Greece’s stability at stake, a tentative consensus yesterday among party leaders on an accord framework marked a step forward as Athens played host to parallel domestic and international negotiations while persuading Greece’s private creditors to accept bigger writedowns on their debt holdings. ‘Do Its Homework’ ‘I Will Fight’ Lenders’ Demands Debt Swap ‘Greek Drama’
Disgruntled Greeks Start 48-Hour National Strike. Greek lawmakers approve austerity bill as Athens burns. News from The Associated Press. Greeks rage at erosion of sovereignty while leaders haggle over deal - Europe - World. Greece's capacity to take the important decisions on its future is becoming very limited as decision-making on such matters as the choice of the Greek prime minister, the date for the next general election and the supervision of the expenditure of the bailout shifts to Berlin and Brussels.
Greeks are now about to be hit by the sixth austerity package in five years. Acrimony reached a new peak in the last few days, as the German Finance Minister Wolfgang Schaeuble expressed doubts about Greece sticking to its promises and saying its appetite for foreign funds was like "a bottomless pit". "Who is Mr Schaeuble to insult Greece? " the Greek President Karolos Papoulias said furiously. He berated other eurozone critics, asking: "Who are the Dutch? An opinion poll a week ago showed that the EU-imposed technocratic Prime Minister Lucas Papademos has 45 per cent support.
If there is an election in April, there will be no outright winner, according to the latest opinion polls. Jenny Stevens. Riot police guard Greek assembly as protesters gather. Greek talks Falter/Sprott offering memorandum/jobs report analysis. Good evening Ladies and Gentlemen: The banking cartel continued to launch their assault on the precious metals with gold falling by $13.00 to $1722.80 and silver slipping 1 cent to $33.72.
Greece secures bailout to avoid debt default. BRUSSELS (AP) - The countries that use the euro pulled Greece back from an imminent and potentially catastrophic default on Tuesday, when they finally stitched together a euro130 billion ($170 billion) rescue they hope will also provide a lifeline to their common currency.
But the patchwork of measures - including the implementation of austerity measures in Greece and approval by skeptical German and Dutch Parliaments - required to give the rescue even a chance of success means it's unlikely to be the end of the continent's debt crisis. European markets edged lower, having enjoyed solid gains in the run-up to the meeting on expectations a deal would be secured, while the euro rose 0.2 percent. The finance ministers from Greece and the other 16 countries that use the euro wrangled until the early morning hours over the details of the rescue, squeezing last-minute concessions out of private holders of Greek debt.
Europe seals new Greek bailout, doubts remain. Greek Rescue Leaves Europe Default Risk Alive. Europe is still struggling to avoid the threat of default as investors warn Greece will soon risk violating the terms of its second bailout in three years.
Seven months of negotiations ended in the pre-dawn hours in Brussels with Greece winning 130 billion euros ($172 billion) in aid it needs to avoid a March bankruptcy. Any respite may prove temporary after it signed up to a program of austerity and economic reform aimed at slashing debt to 120.5 percent of gross domestic product by 2020 from about 160 percent last year. Even with investors and central bankers chipping in to relieve the debt burden, economists from Citigroup Inc. to Commerzbank AG concluded Greece may again fail to deliver amid a fifth year of recession, looming elections and social unrest. ELI5: Wht will happen to Greece once it collapses? : explainlikeimfive. News Headlines. Greek Rescue Leaves Europe Default Risk Alive. Eurozone ministers back 130bn-euro bailout for Greece. 21 February 2012Last updated at 12:04 Eurogroup chief: "We are making every effort so that a new programme will be a success" Eurozone finance ministers have agreed a second bailout for Greece after marathon talks in Brussels.
Greece will get loans of more than 130bn euros (£110bn; $170bn) and have about 107bn of its debt written off. In return, it must slash its debt from 160% to 120.5% of GDP within eight years and accept a permanent EU economic monitoring mission. Leaked Memo Blows The Lid Off Of The Entire Greek Bailout. Greece: 'There's no more left to cut' - Europe - World. Several thousand demonstrators from the public and private-sector unions braved the heavy rainfall, gathering outside Parliament to voice their opposition at the latest proposed measures to secure a €130bn (£108bn) bailout package.
Minor clashes broke out when protesters tried to remove a cordon near the parliament building. Police sprayed tear gas and at times clashed with strikers, whose anger intensified overnight when a further 15,000 job cuts were announced. Since the onset of the crisis, the austerity drive has sent unemployment to a record high of 18.2 per cent and the country's finances into a spiral of recession. Despite the deepening pain, crowds at protests have increasingly dwindled. "People are scared and haven't really realised what's happening yet," George Pantsios, an electrician for the country's public power corporation, said.
The conservative daily Kathimerini newspaper's headline said: "Merkel and Sarkozy's asphyxiating pressure. " Greek economy spirals down as EU forces final catharsis. Approval of EU finance ministers is needed to unlock all parts of the complex €130bn loan package, including a 70pc "haircut" for private holders of Greek bonds, allowing the country to avoid default in March.
Germany and Northern allies seem willing to force Greece out of the euro unless there is total compliance, calculating that the eurozone is now strong enough to stem any contagion. Luc Frieden, Luxembourg's foreign minister, spelled out the warning in crystal clear terms. Hopes rise for Greek deal, but anger grows in euro zone. Greece special report. Note from Athens: Feeling on the ground has palpably changed « Euro Area Debt Crisis by Megan Greene. I travel to Athens about once every six months and speak with as many contacts as I can, including top policymakers, bankers, journalists, economists and academics.
On my most recent trip in mid-February, the feeling on the ground had palpably changed in a number of ways that have supported my view that Greece will eventually default and exit the eurozone, but probably not before late 2013. Sorrow and bitterness There has been a pronounced shift on the ground in Athens in terms of the sorrow and bitterness that Greeks express. Without exception each of the Greeks with whom I spoke—whether government officials or simply engaged citizens—expressed significant concern about the generations above and below them.