When Trust & Truth are Lost you face One Hundred Percent Of Nothing.
Some important things to consider as state sponsored financial terrorism breaks out in Greece:
- Greek sovereign debt among highest yielding bonds.
- G20 ministers gather in Istanbul to discuss Greece, Turkey is hosting the G20 finance ministers and central bank chiefs for the first time as it holds the rotating presidency of the elite global club. Ministers and central bankers from the world’s top 20 economies gathered in Istanbul on Monday, February 9, to discuss solutions to the debt crisis in Greece and ways to push forward faltering global growth.
- Greece is not a member of the G20, thus the probabilities are high that strong arm threats will be exerted against Greek officials, or a angel will rescue the Greek debt (such as members of the BRICS alliance).
- The “Greatest” Carry Trade Ever?
- Days ago, ECB Rejected Greek Bonds As Collateral, then U.S. stocks ended lower…
- The Greek stock exchange plunged over 5.0 per cent on Monday reflecting investor unease after Tsipras’s rousing policy speech to parliament.
- Greek Investors Buying More Gold Coins From U.K. Royal Mint
- IMF & ECB Hold Emergency Meeting For Greece, Tomorrow!
What other terror can be expected in Greece as the Greeks seek remedy?
- Review and Update Your Emergency Preparedness Plan.
Greek demand for gold coins is rising as common citizens worry that Greece will exit the Euro. They have been taking cash out of the banks hoarding and buying gold coins as well according to the U.K. Royal Mint. But the bulk are simply hoarding cash and we are starting to see US dollars flowing to Greece in the physical context. This is all about confidence. The uncertainty of the future causes people to hoard. –Armstrong
“Economic reforms and “forceful” monetary and fiscal policies will be crucial to sustaining global growth against a backdrop of a number of geopolitical challenges, top finance officials from the United States and Great Britain wrote in a joint op-ed for the Wall Street Journal published late Sunday.
The commentary by Jacob Lew, the US treasury secretary, and George Osborne, the British chancellor of the exchequer, came a day before finance ministers and central bankers gather in Istanbul, Turkey, for a G20 meeting where sluggish growth in Europe and a Greek push to refinance its debt are likely to take center stage.”
“there is a heightened sense of urgency at this year’s G20 meeting for leaders to make good on a pledge made last year in Brisbane, Australia – called the Brisbane Action Plan – to create millions of new jobs and increase the sizes of their economies.” –dw.de
[bold font added for our discussions. ~Ron]
See comments section for more discussions and information.
If you want to know who Yanis Varoufakis is Listen To Him:
Yanis speak has been rather consistant over the years now his actions will speak louder as Greece’s Finance Minister.
Click to Listen
Listen for Deadlines and veiled threats from officials talking about Greece:
European officials (Eurogroup) threaten that without an extension of the existing rescue program — and the austerity measures it contains — the Greek government will lose access to new money… Then the ECB cancelled buying Greek Bonds.
“The move, which means the Greek central bank will have to provide its banks with tens of billions of euros of additional emergency liquidity in the coming weeks…” –Reuters
February 11: Finance Minister Yanis Varoufakis will take Greece’s debt proposals to an extraordinary meeting of the “Eurogroup” of 19 eurozone finance ministers in Brussels.
February 12: The European Union’s 28 national leaders meet in Brussels, their first gathering since Tsipras took office.
February 16: The “Eurogroup” of eurozone finance ministers is due to hold a scheduled meeting in Brussels that will nevertheless be dominated by attempts to reach a deal on Greece, whether temporary or long term.
Any renegotiation of Greece’s massive debt obligations will take place at the Eurogroup, which is led by Dutch finance minister Jeroen Dijsselbloem, who was so far objected that Greece revisit its bailout or secure a new short-term loan.
February 28: Greece’s bailout agreement with the eurozone expires. In December, eurozone ministers agreed to extend the European portion of the EU-IMF rescue by two months from the end of 2014.
July 20: Greece faces a huge repayment to the ECB of 3.5 billion euros. According to several analysts, Greece can survive without a backstop until this date, as long as the ECB keeps some level liquidity available to Greece’s banks, but afterwards it faces a default.
August 20: Athens owes the ECB another 3.2 billion euros.
*European Commission President Jean-Claude Juncker, who is considered an enemy of the Grexit scenarios, during a visit in Germany: “Greece should not assume that the general feeling in Europe has changed so much that the Eurozone would accept the Tsipras government program without any limitations.” – See more at: http://greece.greekreporter.com/2015/02/09/greek-finmin-varoufakis-presents-the-greek-10-reforms-proposal-amid-grexit-concerns/
The Shifting Script
G20 plan for investment targets runs into stiff opposition
9 Feb 2015
The G20 meeting of finance ministers and central bankers in Istanbul, Turkey comes as Greece shakes up the Euro currency zone, deflationary cheap oil plays havoc with growth forecasts and a strengthening U.S. dollar threatens emerging economies.
“German Finance Minister Wolfgang Schaeuble suggested he was worried about the financial market impact if the new Greek leftist leader, Alexis Tsipras, carried out his threat to exit Greece’s international bailout agreement.” -reuters
On Monday, 9 Feb 2015, we learned that the Baltic Dry Index has dropped to the lowest level ever. Not even during the darkest depths of the last recession did it drop this low.
Global slump the focus of G20 finance chiefs’ meeting
Financial officials and bankers in Istanbul, Turkey, 8 February 2015
The topics range from private sector support for infrastructure investment, and financial globalization.
Click to listen to mp3
[audio src="http://mod.cri.cn/eng/news/reports/2015/02/0209gleaders.mp3" /]
Chinese Deputy Finance Minister Zhu Guangyao highlighted the risks facing the world economy.
“Now, global economy faces big challenges particularly uncertainty and complexity. (At the) beginning of the year, IMF unfortunately downgraded global economic growth again from 3.8 percent to 3.5 percent. This is consecutively from last year IMF already four times downgrade global growth in 2015.”
According to Zhu, diverging monetary policies and the fall of oil prices are also sources of risk for the global economy.
He also adds that the economic slowdown in Europe is another risk, as Greece casts additional uncertainties to the euro zone.
Therefore, the minister has called on G20 members to join efforts to face the challenges.
“Now that’s need more strong policy and real coordination on policy to promote economic sustainable development. And we really hope facing challenge of uncertainty and complexity this year’s G20 agenda and Turkey’s Presidency can really achieve its target.”
_ _ _
“Turkish Deputy Prime Minister Ali Babacan told an Institute of International Finance (IIF) meeting on Sunday that tackling sluggish global growth and giving low-income nations more voice would be among the priorities for Turkey’s G20 presidency.”
U.S. calls for forceful governance:
“U.S. Secretary of the Treasury Jack Lew said last week the U.S. could not be “the sole engine of growth” and a senior official said Washington’s message going into the meetings would again be that Europe is not doing enough.”
Greek Minister of Finance Yanis Varoufakis will propose a compromise solution to the European partners during tomorrow’s meeting of the Eurogroup. It is suggested that the new agreement be valid for the next six months, until 31 August. The contract provides for the International Monetary Fund to play a key role, for the financial requirements of the country to be covered until the summer and for the lenders to agree to certain social benefits that have already been announced.
Bridging agreement instead of a memorandum
The six-month bridging agreement will be presented at tomorrow’s extraordinary meeting of euro zone finance ministers and will be finalised in the coming days. The Greek government has preferred this compromise with its European partners instead of requesting an extension of the current bailout programme, and that because it does not want to call the new agreement a “Memorandum” but “bridging agreement”.
Key role for the International Monetary Fund
However, the supervisory Troika will play a central role in this agreement, including the International Monetary Fund, despite the initial statements of the government. The exact role of the Troika will be revised so that the technocrats, supervisors, will no longer arrive in Athens. Varoufakis and General Director of the International Monetary Fund Christine Lagarde will discuss this issue during tomorrow’s meeting of the Eurogroup.
The new agreement contains 70% of the previous memorandum
According to sources, the Greek proposal for a compromise solution that Varoufakis will present to the European partners will include 70% of the previous memorandum and will have the following characteristics:
Covering the financial requirements of Greece by paying at least part of the instalments remaining under the previous programme and amounting to 7.2 billion euro, including 1.9 billion euro in order for Greece to cover all obligations and mainly about 7 billion euro on the bonds of the European Central Bank that will mature in July and August.
Debt reduction through a technical exchange system -Swaps-, which will come into force on 1 September 2015.
Utilisation of state property and privatisation, as the members of the Ministry of Finance categorically declare to complete the privatisation of Piraeus port, despite the statements by Minister of Shipping Thanassis Dritsas.
Drastic reduction of the primary surplus projections to 1.5% of GDP instead of the previous 3%. The Ministry of Finance believes that 2014 will end with a primary surplus of around 1.49% of GDP.
The agreement will contain 10 “Surprise Reforms” agreed with the Organisation for Economic Cooperation and Development
The measures included in the new agreement between Greece and its lenders will contain ten “Surprise Reforms”, as the cabinet members call them, which will be discussed with Secretary General of the Organisation for Economic Cooperation and Development Angel Gurria. He arrived in Athens today and tonight he will have dinner with Minister of Finance Varoufakis.
These 10 reforms will replace 30% of the tough measures in the memorandum, which have never been implemented.
– See more at: http://www.grreporter.info/en/athens%E2%80%99_5_suggestions_tomorrows_meeting_eurogroup/12342
The Truth About The Greek Crisis
Published on Feb 5, 2015
Hear the entire interview here
VICTORY IS ASSURED – Chris Duane