Greece To Be Saved From Default
By VOR
The number of private investors, who have signed to the program of writing off Greece’s debts, has exceeded 75%.
This is enough for Greece to escape a financial default which might have caused a damage estimated in € 1 trillion to the eurozone countries.
At present, Greece’s state debt exceeds € 350 bln, and Greece has no enough money to pay it back.
In late February, international creditors – the European Central Bank, the European Commission and the IMF – agreed to allocate € bln to Greece.
Besides, an agreement was reached to exchange a € 200 bln-worth of Greek bonds, possessed by private investors, for twice less valuable ones.
In response, Greece promised considerable cuts of its budget.
Greece cannot be saved from default given the political composition of government.
Greeces economy is going backward due to a large austerity measures,coupled with a corrupt government.
Greeces politicians are worried more for their re-election than the countrys economic state.
The signing of the agreement between the Eurozone and Greeces political parties are not worth the paper.Greece does not respect international agreements,and this will come out after the national elections on April.
Each party will blame the other for the demise of its economy,while EU will be trying to calm them down forgetting the real problem.