Greece 25 billion Euro rescue package in the cards.

Discussion in 'Economics' started by Debaser82, Feb 20, 2010.

  1. Die Rettung des griechischen Staatshaushalts kommt die Euro-Länder teuer zu stehen: Nach SPIEGEL-Informationen dürfte der Hilfsfonds bis zu 25 Milliarden Euro umfassen, Deutschland müsste rund ein Fünftel davon zahlen. Die Hilfe ist bitter nötig - ein Bankrott würde auch deutsche Banken gefährden.,1518,679222,00.html

    They are helping because.... if they don't their banks would get hurt.
  2. Most of people in hotter climate is lazier and dumber than people in cold climate.
  3. Who is dumb, when they sit around drinking Ouzo and work 32 hours and then get bailed out.

    Aren't we really talking about the greater fool theory?
  4. This is global. The US, Japan, and the UK are no better off. Only difference is their bailouts come in money printing - for now.

    Keep in mind:

    Deutsche Bank got about $12 Billion from the AIG bailout by the US Gov't.

    And this is also a Deutsche Bank bailout.

    It's all subprime.... everywhere....

    Should be good for gold.
  5. Update:

    Economy | 20.02.2010
    EU nations preparing aid package for Greece, reports say

    Großansicht des Bildes mit der Bildunterschrift: Saving Greece is believed important for averting a currency crisisEuro zone countries are considering an aid deal for Greece worth around 25 billion euros ($33.9 billion), German media reported Saturday. The package is reportedly being cobbled together by the German government.

    The deal under consideration would see the 15 other euro zone countries issue 20-25 billion euros in aid in the form of loans and guarantees, weekly German newsmagazine Der Spiegel reported.

    The report said each euro zone country's contribution to the package would be calculated according to the proportion of capital each holds in the European Central Bank.

    Germany's contribution would reportedly amount to around four billion euros and be handled by the state-owned development bank, the KfW.

    The government of Chancellor Angela Merkel has so far held off on committing any aid to Greece over fears this would cause other troubled euro zone countries to go easy on reforms to their economies in the hope of also receiving bailout packages.

    "Crisis as a chance"

    Greece is currently trying to rein in a deficit of 12.7 percent of GDP, more than four times the limit allowed by euro zone regulations. The government of Greek Prime Minister Georgiou Papandreou said it was aiming to reduce the deficit to below three percent by 2012.

    Papandreou said he was confident this ambitious target could be met by clamping down on bribery and corruption. "We need to understand the crisis as a chance to launch the necessary reforms," he said in an interview for a separate report also to run in Der Spiegel on Monday.

    Greece's economic woes have hit the euro currency hard, threatening to plunge the economic bloc into its first fully fledged crisis since the creation of the euro more than 11 years ago.