by Bill McBride on 11/25/2012 01:08:00 PM
Sunday, November 25, 2012
The eurozone finance ministers are meeting on Monday, and trying to reach an agreement to disburse more funds to Greece.
From the Financial Times: Greece upbeat about signing debt deal
Eurozone finance ministers will make another attempt on Monday ... to settle differences over debt relief measures for Athens and give a green light to disburse up to €44bn of aid.And from Bloomberg: Euro Ministers Take Third Swing at Clearing Greek Payment
The stumbling blocks to a deal, in addition to Berlin’s reluctance to accept drastic interest rate cuts, include opposition by some eurozone members to returning profits from the European Central Bank’s purchases of Greek bonds, and a gloomy assessment of Greece’s growth prospects until 2020 by the IMF.
excerpt with permission
Finance chiefs from the 17-member single currency return to Brussels tomorrow ...I expect an agreement will be reached soon that will buy more time.
Euro-area finance ministers held a conference call yesterday to prepare for the Brussels meeting. A breakthrough hinges on coming up with 10 billion euros ($13 billion) through reductions in interest rates charged by creditors and a debt buyback financed by bailout funding. The gap emerged when the finance chiefs agreed this month to give Greece two more years to meet targets.
Posted by Bill McBride on 11/25/2012 01:08:00 PM