35091
EU Slows Down on Greece Aid
World Economy

EU Slows Down on Greece Aid

Greece’s next bite of bailout money may turn into a movable feast if Prime Minister Alexis Tsipras can’t convince eurozone authorities he’s making good on his promises.
“Everyone got used to the fact the reviews take longer,” Lithuanian Finance Minister Rimantas Sadzius said in an interview on Friday. “Everyone’s prepared to demand that agreements are implemented at 100%,” Bloomberg reported.
European governments won’t rush through additional disbursements until Tsipras delivers on pledges to fix Greece’s pension system, update its labor markets and close fiscal gaps. A slow approach to resolving the nation’s financial needs has already pushed borrowing costs to levels not seen since last August and runs the risk of renewing last year’s conflict that nearly ended Greece’s membership in the eurozone.
Greece may get €4 billion ($4.34 billion) or more once the nation’s creditors complete a review of the most recent bailout, according to a eurozone official who asked not to be named because talks are ongoing. If Greece fails to unlock more funding it may face a cash crunch by the middle of the year.

 Economic Overhauls
The first evaluation of Greece’s €86 billion aid program that was inked in August, which was supposed to conclude in February or early March, is now sitting in limbo. In an interview published Monday, ESM chief Klaus Regling told Le Figaro he thought the assessment could be “concluded before Easter”–without specifying whether he meant this year’s March 27 celebration in Rome or the Greek Orthodox Church’s May 1 observance.
Greek government notes are the worst performing of all sovereign securities tracked by Bloomberg’s World Bond Indexes this year, amid doubts over the government’s ability to push through painful economic overhauls demanded by creditors. Greek stocks have dropped more than 15%, amid a succession of protests by farmers, doctors, lawyers, pharmacists and other independent professionals against the government’s pension reform proposals.
Thousands of tractors have been blocking Greece’s motorways, bringing traffic to a halt, while the government said Monday that it will amend some of its proposed hikes to mandatory pension contributions, in an effort to stem social backlash. Officials representing creditor institutions have been assessing whether the debt-ridden country will deliver additional pension savings equal to 1% of its gross domestic product this year and achieve a primary budget surplus equal to 3.5% of its GDP by 2018.

Short URL : http://goo.gl/NJF1k0
  1. http://goo.gl/YqxHC6
  • http://goo.gl/imz6Jh
  • http://goo.gl/HcJZpW
  • http://goo.gl/kI2hVp
  • http://goo.gl/1QyFuz

You can also read ...

Shifting transactions from cash to digital payments holds great promise for  individuals, businesses and governments.
More than 23% of the world's economy operates out of sight of...
India Launches 888 Anti-Dumping Probes
The Indian government has initiated as many as 214 anti-...
Federal Reserve Board Chairman Jerome Powell speaks during a hearing before the Senate Banking, Housing and Urban Affairs Committee.
US Federal Reserve Chairman Jerome Powell said protectionism...
Fitch Retains Philippine  Debt Rating
Global debt watcher Fitch Ratings kept the Philippines’...
The warnings come amid a period of financial uncertainty for the world.
US officials who helped the country survive the 2008 financial...
EU to Fine Google $5 Billion
Google will be fined about €4.3 billion ($5 billion) by the...
UN to Help Rebuild Gaza Economy, Create Jobs
Against the backdrop of rapidly rising tension, violence,...
Africa Next Frontier for Crypto
Cryptocurrency is not bound by geography because it is...

Trending

Googleplus