Thursday Jul 24, 2014 Search
Weather | Athens
32o C
23o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
EU said to tide Greece past bill redemption as aid talks drag on

European governments will find a way of tiding Greece past next week’s bill redemption as the pieces of an updated aid package take longer than planned to fall into place, a European official said.

While finance ministers on Nov. 12 are unlikely to sign off on 31.5 billion euros of fresh loans, the result won’t be an “accidental default” for Greece when 5 billion euros of bills mature on Nov. 16, the official told reporters in Brussels on Friday on condition of anonymity.

Creditor countries will weigh whether Greek legislation passed this week goes far enough in overhauling the economy and showing that Greece, the origin of the three-year-old debt crisis, deserves to continue tapping international aid, the official said.

“We’re not out of the woods yet,” German Finance Minister Wolfgang Schaeuble said on Thursday in Hamburg. “I don’t see how we can take the decision already next week.”

Delays reflect tensions within the Greek coalition and between Greece and the “troika” representing creditors. Donor countries such as Germany also need national parliamentary endorsement before giving the green light to the next payments from a total of 240 billion euros pledged to Greece since 2010.

Greece overcame one hurdle late on Wednesday when Prime Minister Antonis Samaras eked out a slim parliamentary majority for a bill on pension, wage and benefit cuts. The next hurdle comes on Nov. 11, when the parliament votes on the 2013 budget.

Samaras has pressed for two extra years, until 2016, for Greece to meet deficit-reduction targets imposed by European governments and the International Monetary Fund. Creditors’ calculations are assuming a two-year extension, the Brussels official said, while declining to say whether it will be approved.

A variety of options are under consideration for plugging the financing hole that an extension would open up, the official said. While engineering a buyback of Greek debt at depressed prices is one of them, it is “technically and financially infinitely more complicated than you would ever imagine,” the official said.

Solutions hinge on when Greece’s debt will become “sustainable,” previously defined as dropping to 120 percent of gross domestic product by 2020. The official on Friday said a decade is now the rough timetable, implying that the sustainability target may be pushed out to 2022 or 2023.

The official declined to say whether the European Central Bank would allow greater Greek treasury bill issuance as a way of financing next week’s expiration.

[Bloomberg]

ekathimerini.com , Friday November 9, 2012 (13:37)  
No property transactions for tax evaders
IOBE warns crisis will return if reforms are not implemented
Aegean has expressed an interest in Cyprus Airways
‘Stop tax dodging to lower taxes’
Family of deceased woman on life support says application for ´special status´ had been filed with PPC
The family of a 56-year-old quadriplegic woman on life support who died on Wednesday, allegedly after the Public Power Corporation cut electricity supplies to her home due to unpaid bills, h...
Democracy ´retreated´ during crisis, says Papoulias
The crisis caused the democratic process to "retreat" and that is probably the most dramatic side effect of the financial crisis noted Greek President Karolos Papoulias in a statement markin...
Inside News
TRACK & FIELD
Athens, the Marathon capital of the world for good
Paco Borao, the man who restored Athens as the Marathon capital of the world with the establishment at the Olympic Sports Center of the headquarters of the International Association of Marat...
TRACK & FIELD
Pole vault record on same day as three doping cases
Greek track and field had a mixed weekend, as on the same day as Katerina Stefanidi matched the national record in pole vault as well as the leading result in Europe so far this season, thre...
Inside Sports
COMMENTARY
When evaluation is seen as useless
The reactions toward the government’s plans for an evaluation of public sector workers are completely unsurprising. Civil servants – and not just the unions that represent them – abhor the m...
EDITORIAL
Playing the good guy
There is a part of the government that is striving to fulfill the commitments that Greece has undertaken toward its foreign creditors, most of which pertain to reforms that are absolutely es...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Family of deceased woman on life support says application for ´special status´ had been filed with PPC
2. Democracy ´retreated´ during crisis, says Papoulias
3. Quadriplegic woman on life support ´dies due to unpaid power bills´
4. No property transactions for tax evaders
5. IOBE warns crisis will return if reforms are not implemented
6. Aegean has expressed an interest in Cyprus Airways
more news
Today
This Week
1. Quadriplegic woman on life support 'dies due to unpaid power bills'
2. Democracy 'retreated' during crisis, says Papoulias
3. Family of deceased woman on life support says application for 'special status' had been filed with PPC
4. Hedge fund Dromeus turns Greek tragedy to triumph with 160 pct gain
5. Front-line threats
6. EU praises Greece’s progress in departure from troika criticism
Today
This Week
1. The cost of excellence
2. Ex-Credit Suisse banker taps lesson for Greek rebound
3. Greece seen in third bailout as bonds not enough, economists say
4. Climber dies in Mount Olympus fall
5. Greek banks able to tap investors after stress tests, HFSF Says
6. Greek sovereign debt at 174.1 percent of GDP in first quarter
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.