English | دری

Germany and France to Discuss Extension Allowance to Greece

in International Business

Germany and France to Discuss Extension Allowance to Greece

German Chancellor Angela Merkel and French President Francois Hollande are set to have talks on allowing more time to Greece to make the cuts required by its debt bailout.

Greece, being on its fifth recession at the moment, is in need for a second bailout package of 33.5bn Euros.

The second installment depends on the troika’s assessment of Greece’s progress thus far.

The “troika” of donor bodies monitoring the bailout – the International Monetary Fund (IMF), the European Central Bank (ECB) and the European Commission – are due in Athens next month to report on whether Greece has made enough progress.

Greece’s Prime Minister Antonis Samaras is seeking a two year extension to enable the country to have “a little breathing space” in order to kick-start growth and reduce its deficit.

The country has to put in place structural and economic reforms including maneuvering labor market and renewing privatization drive in order to qualify for the second bailout package.

At least publicly, many EU leaders have remained supportive of Greece’s stay in the Eurozone. However, if Greece defaults, it could result in its automatic exit from the Eurozone.


Tags assigned to this article:
Greece bailout

Related Articles

Bank of England Going Easy on its Quantitative Easing Scheme

Bank of England has decided to hold off from taking any further Quantitative Easing (QE) measures and has kept interest

India Central Bank Cutting Cash Reserve Ratio to Boost Lending

In a bid to boost lending and revive domestic demand, the Reserve Bank of India (RBI) lowered the amount of

Sony and Panasonic ratings cut to the junk status level

The Fitch ratings agency has cut the ratings of the tech firms Sony and Panasonic to the level of junk

No comments

Write a comment
No Comments Yet! You can be first to comment this post!

Write a Comment

Your e-mail address will not be published.
Required fields are marked*