European Salon de News, Discussion et Klatsch - 7 February | 94 comments (94 topical, editorial, 0 hidden)

France, Germany press for Greek debt escrow account

One French source said the idea, floated by Germany, was for funds from a planned second 130 billion euro bailout program for Greece to be siphoned off to reassure bondholders that future payments were guaranteed.
The scheme, which was only at a preliminary stage, was to demonstrate that debt payments were being given priority in Greece's budget, the French source said.
Greece, which has repeatedly failed to meet fiscal targets set out by its international lenders, had reacted angrily to German calls for the appointment of a "budget commissioner," saying it would be undermine national sovereignty.

tens of millions of people stand to see their lives ruined because the bureaucrats at the ECB don't understand introductory economics -- Dean Baker

by Carrie (migeru at eurotrib dot com) on Tue Feb 7th, 2012 at 04:46:20 AM EST
[ Parent ]

Re: Europe (4.00 / 2)

If only the debtor nations had told Merkozy to stuff it on day zero and forced them to bail out their banks things would be a lot better now.

by Colman (colman at eurotrib.com) on Tue Feb 7th, 2012 at 05:22:34 AM EST
[ Parent ]

European Salon de News, Discussion et Klatsch - 7 February | 94 comments (94 topical, 0 editorial, 0 hidden)