the eurogroup
Milan , February 20, 2015 – 21:21
The Eurogroup finance ministers have reached a basic agreement on a text Compromise for the extension of the program of aid to Greece for four months. It is “a first step in this process of rebuilding trust,” according to the president of the Eurogroup Jeroen Dijsselbloem. Athens, as is clear from the conclusions of the extraordinary meeting of the finance ministers of the euro area, calls for the extension of four months of the program to “bring it to a successful conclusion,” doing “the best use of the flexibility that will be evaluated jointly by Greece and institutions’ former troika. But Greece, warns the German Minister of Finance Wolfgang Schaeuble, “will not receive additional payments until the current program will not be completed successfully.” The agreement has immediate effects on Bags: closing at record levels for Wal l Street.
First step: a list of reforms
The extension will also serve to discuss a” possible new agreement, “which could be ready by the summer. Meanwhile on Monday Athens must submit a “first list” of reforms the troika (ECB, European Commission and IMF) will consider whether it will be ‘sufficiently comprehensive to be a valid starting point for the successful conclusion of the review of the program. ” If approved, the finance ministers of the Eurozone will meet by teleconference Tuesday to give the final go-ahead to the plan. Although it was not signed any memorandum of understanding on reforms (“We will be co-authors of our list of reforms, no longer follow a script given to us by external agencies,” says Minister for Finance greek Varoufakis) Greece seems determined to do homework without blinking: “Greece agrees to refrain from withdrawing any measure or unilateral changes of policies and structural reforms that could have a negative impact on the budgetary targets, shooting or stability, as assessed by the institutions “reads the text of the Eurogroup. And a government source in Athens confirmed: “The new government will present a package of reforms for the next phase, giving priority to those that constitute a common ground, such as the fight against tax evasion, corruption, the restructuring of public administration and to address the social crisis. ”
“in the interests of the Agreement ‘ European average ‘
Positive comments to the handshake between Athens and Brussels. “It ‘been a laborious process but in the end a building process,” said Christine Lagard, director of the International Monetary Fund. The agreement reached Eurogroup “is in the interests not only of Greece but of all the EU” as it is “a balanced agreement that allows both the Greek authorities to implement the changes they want and at the same time that commitments are respected, “said the EU commissioner for economic affairs Pierre Moscovici. “The work on the extension of the greek program can continue. It is important that Greece honors its commitments and present a complete list of reforms, “he writes in a tweet Commission Vice President Valdis Dombrovskis just after the end of the Eurogroup. “We are all winners. It is a great step forward for Europe, “says Minister of Economy, Pier Carlo Padoan. Well satisfied Fi nance Minister greek Yanis Varoufakis, who called the agreement “the first step in the right direction of a long journey”: “We have turned the page – highlighted Varoufakis – without betraying the mandate of the voters.” “We have rejected a zero-sum game,” on the contrary “this agreement is in the interest of the average European,” said the minister greek.
The role of Dragons
According to rumors ECB President Mario Draghi would give a nice boost to the Eurogroup ministers, warning that Greek banks are running out of oxygen. A new break in the negotiations would have forced the Governing Council in Frankfurt to choose between him pull the plug, risking intestarsi responsibility before a possible exit from the euro, and maintain artificial respiration to a banking system on the brink of collapse. The study, according to some media, there would also impose limits on capital movements in Greece, to stop the rapid drying up of liquidity Greek. The ECB will not have to pull the trigger, at least for the moment: the agreement that averts the risk “Grexit” and ensure the economic survival of the country from February 28 he would have been without the umbrella of the aid program. If the agreement in principle will result in measures deemed sufficient by Europe to complete the save, he can return to fund normally Greek banks. Taking dangled in front of Tsipras also access to the “quantitative easing” from next summer.
February 20, 2015 | 21:21
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