Eurozone authorizes US$6.72-billion payment to Greece despite election results
Wed, 05/09/2012 - 14:28 EDT - Financial Post
Eurozone governments kept Greece afloat on Wednesday after agreeing to authorize a payment of 5.2 billion euros (US$6.72-billion) from the region’s bailout fund, despite opposition from some member states following the Greek election results
BRUSSELS (Reuters) - Euro zone governments kept Greece afloat on Wednesday after agreeing a payment of 5.2 billion euros from the region's bailout fund, despite opposition from some member states following the Greek election results. After a conference call, the board of the European Financial Stability Facility, the 700 billion euro bailout fund administered by the 17 countries that use the euro, agreed to make the scheduled payment, which will allow Greece to meet near-term bond redemptions and other obligations. An initial 4. ...
BRUSSELS (Reuters) - Euro zone governments kept Greece afloat on Wednesday after agreeing to authorize a payment of 5.2 billion euros ($6.72 billion) from the region's bailout fund, despite opposition from some member states following the Greek election results.
Greece reshuffled its bailout-negotiating team, clipping Finance Minister Yanis Varoufakis’s wings, after three months of talks with creditors failed to unlock aid and a meeting with his euro-area counterparts ended in acrimony.
The coordination of day-to-day efforts to strike a deal with creditors was handed to Deputy Foreign Minister Euclid Tsakalotos, a Greek government official said in an e-mail to reporters Monday.
Varoufakis’s role will be limited to supervising the political negotiations with euro-area member states and the International Monetary Fund.
Greece’s day of reckoning may be fast approaching. Athens will have to pony up more than €2 billion in debt payments this Friday to the ECB, the IMF, and (get this) Goldman Sachs, for an interest payment on a derivative and it’s not entirely clear where the money will come from. On Wednesday, the government will vote on a “plan” to boost liquidity which includes tapping public funds and diverting bank bailout money. Here’s Bloomberg:
There was a brief bout of Greek risk-on euphoria following yesterday's latest twist in the winding road to the Greek insolvency, in which the Greek finance minister became the latest sacrificial scapegoat to be "Sarao-ed" to appease the Troika, and has now been kicked out of any future negotiations with the Greek creditors.
Russian President Vladimir Putin and Greek Prime Minister Alexis Tsipras said they want to restore ties between their countries amid signs of a schism among some European Union states on whether to maintain sanctions against Russia over the conflict in Ukraine.
“Greece is a sovereign country with unalienable rights,” Tsipras said after meeting with Putin in Moscow on Wednesday. The Greek premier said he disagrees with the logic of sanctions, which he described as “an economic war,” and called for “a new spring in ties between our countries.”
ATHENS: Greece's leftist cabinet met for the second time in three days on Tuesday to thrash out what concessions to make in cash-for-reform talks with creditors after Athens had to resort to a temporary expedient to make a crucial payment to the IMF. Greek officials said they had emptied an International Monetary Fund holding account to repay 750 million euros to the global lender on Monday, avoiding default but underscoring the dire state of the country's finances.
One hundred and ten of Greece’s best beaches are on sale by Greece’s privatization agency, the Hellenic Republic Asset Development Fund (TAIPED) in the name of supposed 'development' and 'utilization of public assets' as the prerequisite for receiving more handouts from the Troika. "This sale of the land must happen," explains one Greek civil servant, "we need this now, quickly. Tell the Russians and the Qataris to hurry up!"