This is a hoot!
So, we’ve more drama from the drama queens, Greece, the IMF, and Europe. Today, we learn they can bundle their repayments to the IMF to the end of the month, as they have multiple scheduled repayments next month.
ATHENS, Greece (AP) — Greece and rescue lenders remained at odds over whether the two sides are close to a breakthrough in negotiations, as the International Monetary Fund confirmed Thursday that Athens had the right to ask for “bundled” repayments next month. ….
… He said Athens hadn’t made a request to combine repayments, adding that the last country to do so was Zambia three decades ago.
Greece has warned it may be unable to repay an IMF loan due on June 5 unless it reaches a deal with emergency creditors to unlock remaining bailout funds. It has four IMF repayments due next month, through June 19. ….
…. “It is based on very specific facts,” government spokesman Gabriel Sakellaridis said. “We are going into these negotiations with the aim to have an agreement with our partners by Sunday.”
Murray refused to comment on when a deal could be struck, insisting “work still needs to be done” — a note of caution echoed in Brussels. ….
…. Tsipras’ government, elected in January on an anti-austerity platform, has been in talks for four months on what reforms it should make to get the final bailout installment of 7.2 billion euros ($8 billion) from fellow eurozone states and the IMF.
Creditors insist Athens must take more long-term measures to ensure its economy is reformed and doesn’t slip back into the bad habits of the past, with reckless borrowing and a large and inefficient public sector…..
…. Greece’s conservative opposition criticized the government’s handling of the negotiation.
“It is obvious that the government is at a dead-end,” New Democracy party spokesman Kostas Karagounis said.
“It announces deals that don’t exist, it presents its own positions as agreements, it is refuted by all foreign officials and meanwhile time has run out and the money has been exhausted.”
Final bailout installment of $8 billion? $8 billion or 7.2 billion Euros won’t get Greece through the next quarter.
Graph is in Euros.
Considering all of the money they’ve been given/loaned …. last I looked it was something like 1/4 $trillion what difference does $8 billion make?
If this is to be the “final” installment, then, never mind, they’re not going to make it. It’s already over, it’s done. All of this is harping about nothing. Even if they were to suddenly clamp down on their spending to lower than the last 12 quarters, they’re still going to running a deficit.
So, all of this drama is meaningless …….. that is, unless Europe and the IMF intend on setting up another bailout package. It would probably all be easier if Greece simply admits that they’re worthless and must become wards of the greater state. Which is what I predict will happen, in essence.
Of course, there’s always another alternative. The people of Greece could decide to live within their means, exit the EU, tell the IMF and Europe that they’ll catch up with them later to pay them back and stand on their own two feet. But, given the government they recently elected, they’ve no knowledge as, how, exactly, to accomplish such a Herculean feat.