Greek default "now unavoidable"

Graham_Devon

But you can bet the cronies in the EU will make it as painful as possible and drag it out as long as they can.

A Greek default "now seems unavoidable", according to analysts at business services group Ernst & Young.

The firm's quarterly Eurozone Forecast also says that the chance of recession in the euro bloc has increased sharply.

Rising financial tensions and a near stalling of economic growth means "there is a real danger that events will overtake policymakers", it said.

The key question on Greece is when a "default will occur and how it will be managed".

The Ernst & Young (E&Y) report says: "Authorities have been slow in trying to tackle the problems facing Greece, Ireland and Portugal.
"It was hoped that the rescue package for Greece announced in July would bring to an end the long period of indecision and uncertainty."
But the report adds: "The eurozone sovereign-debt crisis shows no sign of abating."

More here: http://www.bbc.co.uk/news/business-15103741

Although the consequences of this are terrible, it's refreshing to read this, which is stating what many have been stating for some time, instead of reading about further support which won't work time and time again.

Going4TheDream

Graham_Devon wrote: »

But you can bet the cronies in the EU will make it as painful as possible and drag it out as long as they can.


More here: http://www.bbc.co.uk/news/business-15103741

Although the consequences of this are terrible, it's refreshing to read this, which is stating what many have been stating for some time, instead of reading about further support which won't work time and time again.

Well said and perhaps this kinda backs up a post of yours this morning on another thread about too much procrastination by those in charge? sometimes best to act and avoid the depth of the s**t getting any deeper

Graham_Devon

Merkel has got her way and the vote has been passed. Germany's commitment to a bailout fund is now £211bn. It was £123bn.

However, markets seem to have turned, and it's been suggested the increase simply isn't enough.

pqrdef

Graham_Devon wrote: »

Merkel has got her way and the vote has been passed. Germany's commitment to a bailout fund is now £211bn. It was £123bn.

Putting a top limit on it isn't the way to inspire confidence.


But I sense a missed business opportunity here. The Germans could have made a fortune showing the Greeks how to be efficient and collect taxes.

Conrad

I have a thread on Greece running here with a scarey Newsnight broadcast from last night included which shows the true nature of the Mad Max sentiment now engulfing Athens

https://forums.moneysavingexpert.com/discussion/3517219

purch

Greek default "now unavoidable"

It's been unavoidable for months.

One the coupon on 10 year paper reached 25% it was priced in.