Euro-area finance ministers gave Greece two extra years to wrestle down its budget deficit,
pledging to plug the resulting financing gaps in order to keep the
country in the single currency and prevent a renewed flareup of the debt
crisis.
Finance ministers granted Greece until 2016 to cut the deficit to 2 percent of gross domestic product. They put off until Nov. 20 a decision on how to cover additional Greek needs of as much as 32.6 billion euros ($41 billion) and left unclear whether the International Monetary Fund will continue to contribute.
In the latest compromise in three years of crisis fighting, creditors led by Germany opted to keep money flowing to Greece instead of risking a default that could lead to the nation’s exit from the euro and stir more turmoil for countries left in it.
“Greece has done a big part of what it was supposed to do, adopted an ambitious reform program and a budget for 2013 that’s impressive,” Luxembourg Prime Minister Jean-Claude Juncker told reporters in Brussels late yesterday after chairing the ministers’ meeting. He said “a certain number of avenues” except the writedown of official loans are being looked at for filling the funding gap.
Read more: http://www.bloomberg.com/news/2012-11-12/europe-gives-greece-2-more-years-to-reach-deficit-debt-targets.html
Finance ministers granted Greece until 2016 to cut the deficit to 2 percent of gross domestic product. They put off until Nov. 20 a decision on how to cover additional Greek needs of as much as 32.6 billion euros ($41 billion) and left unclear whether the International Monetary Fund will continue to contribute.
In the latest compromise in three years of crisis fighting, creditors led by Germany opted to keep money flowing to Greece instead of risking a default that could lead to the nation’s exit from the euro and stir more turmoil for countries left in it.
“Greece has done a big part of what it was supposed to do, adopted an ambitious reform program and a budget for 2013 that’s impressive,” Luxembourg Prime Minister Jean-Claude Juncker told reporters in Brussels late yesterday after chairing the ministers’ meeting. He said “a certain number of avenues” except the writedown of official loans are being looked at for filling the funding gap.
Read more: http://www.bloomberg.com/news/2012-11-12/europe-gives-greece-2-more-years-to-reach-deficit-debt-targets.html
No comments:
Post a Comment