... concerning the complicated Greek issue. Moreover, Greece is facing significant domestic economic problems. However, the Greek government, despite German pressure to remove it, is going to be transformed so to establish the appropriate adjustments that Greece needs, whether it remains in or out of Eurozone.
To create a real structure for economic growth, the German government must relieve a large amount of Greek debt. Calling this procedure a “haircut” or whatever else is a matter that should be left to the creditors. The core of the ...
... fiscal devaluation in the context of the monetary union.
On Monday, June 22 a Euro Summit will discuss developments at the highest political level. But the ultimate deadline seems to be the end of June, when Athens faces substantial payments to the IMF. Greece is likely to leave the eurozone and possibly the EU if it fails to reach an agreement to unlock a €7.2 billion bailout installment, said a statement from the Bank of Greece a couple of days ago.
International investment, including energy deals, would be among the key parameters ...
... different estimates of the consequences of a Grexit, the common component of their conclusions is that 1) the possibility of a domino effect is less likely compared to 2012 2) the total amount of losses is not easy to be estimated accurately, and c) keeping Greece in the eurozone is cheaper than leaving it bankrupt.
Finally, it seems quite irrational that the policy pursued by the institutions is inconsistent with the economic logic deriving from the consequences of a possible Grexit.
... travails of Europe will unquestionably impact the global stock markets and will send waves of shock to global confidence.
There is little doubt that the country’s debt-servicing bill declined because private financial investors have been replaced by Eurozone countries which currently own 60 % of Greece’s €322 billion government debt that equals to 179% of GDP
[11]
. The concluded extension of the country’s repayments to 2054 and the cut in interest payments is considered by many as equivalent to a haircut. Scepticism, however,...
