Merkel’s Problem: Booming German Economy Is So 20th Century

Low unemployment and high exports are masking a backlog in technology and investment.
By Rainer Buergin  and Tony Czuczka
Bloomberg

20 Σεπτεμβρίου 2017, 6:00 π.μ. EEST
Germany’s steady economy is a boon for Chancellor Angela Merkel as she seeks a fourth term on Sunday. Even the diesel-vehicle emissions scandal is barely denting national pride in German high-end manufacturing. Yet a closer look reveals a backlog in 21st-century benchmarks such as broadband and education, pointing to costly catch-up efforts facing the next government. 

It's Bailout-Review Time in Greece and Markets Are Wary - Again

By Sotiris Nikas  and Viktoria Dendrinou
20 Σεπτεμβρίου 2017, 5:00 π.μ. EEST

Bloomberg

Crunch time for Greece as review tests bailout-exit capability
IMF demands on Greek banks, debt relief among review issues
The moment of reckoning may soon be upon Greece.

As the country enters the final year of its bailout, questions remain on whether it will be able to stand on its own feet when the rescue program ends. In the immediate term, with creditor representatives descending upon Athens last week for the third review, other concerns loom large: Will this review of the bailout program be different from the previous two? What role will the International Monetary Fund play? Will Greece complete the 95 measures in the review in time?

With Combative Style and Epithets, Trump Takes America First to the U.N.

By PETER BAKER and RICK GLADSTONESEPT. 19, 2017


The New York Times

UNITED NATIONS — President Trump brought the same confrontational style of leadership he has used at home to the world’s most prominent stage on Tuesday as he vowed to “totally destroy North Korea” if it threatened the United States and denounced the nuclear agreement with Iran as “an embarrassment” that he may abandon.

In his first address to the United Nations General Assembly, Mr. Trump framed the conflicts as a test of the international system. The bombastic flourishes that generate approving roars at political events were met by stony silence, interrupted a few times by a smattering of applause, as Mr. Trump promised to “crush loser terrorists,” mocked North Korea’s leader as “Rocket Man” and declared that parts of the world “are going to hell.”

Greece Must Complete Most Pending Bailout Reforms by November-PM

By REUTERSSEPT. 18, 2017, 6:48 A.M. E.D.T.


The New York Times

ATHENS — Greece must complete most of the pending reforms agreed with its official creditors by November in order to speed up the conclusion of a key progress review and exit the bailout in time, Prime Minister Alexis Tsipras told his cabinet on Monday.

Greece's bailout progress is being reviewed by its lenders on a quarterly basis and the next review is expected to start in October. Tsipras has promised to make the country financially independent by 2018, when its third rescue programme expires.

World Wildlife Fund sues over Greece oil spill from tanker

By THE ASSOCIATED PRESS ATHENS, Greece — Sep 18, 2017, 3:37 PM ET

The World Wildlife Fund filed a lawsuit Monday over extensive pollution to the coastline outside Athens following the sinking of a tanker near Greece's largest port.

The environmental group's Greek branch filed the lawsuit in the port city of Piraeus against "anyone found responsible," a common practice when a party that could be held legally accountable has not been identified formally.

The IMF Needs to Stop Torturing Greece

The fund should write down the country's debt, not demand another bank recapitalization.
By J. Kyle Bass

19 Σεπτεμβρίου 2017, 7:30 π.μ. EEST

“Beware of Greeks bearing gifts,” wrote the ancient Roman poet Virgil. In the 21st century, it’s the Greeks who should have been more careful about accepting offerings -- specifically from the International Monetary Fund, which is now torturing the country in a misguided effort to get its money back.

Greek officials have worked hard to shore up their economy and finances. From 2010 through 2016, the government achieved the all-but-impossible task of shrinking its primary budget deficit by nearly 18 percent of gross domestic product, and is finally in surplus. After a brutal contraction of almost 30 percent, the economy is exhibiting positive signs in almost every area -- industrial production, new automobile registrations, construction permits, tourist arrivals.

Breakingviews - Dixon: No escape from debtors’ prison for Greece

SEPTEMBER 11, 2017 / 4:51 PM
Hugo Dixon
6 MIN READ

Reuters

Tinos, GREECE (Reuters Breakingviews) - Alexis Tsipras is desperate to avoid “suffocating supervision” of Greece’s actions when the country’s third bailout programme ends next August. At the weekend, he promised as much. But the best the Greek prime minister can hope for is that Athens will move from its current high-security prison to an open one – and that will happen only if he behaves.

Greek PM urges IMF to decide on bailout participation by end of year

George Georgiopoulos, Angeliki Koutantou
Reuters

ATHENS (Reuters) - The International Monetary Fund should decide whether it will fund Greece’s current bailout program by the end of the year and help Greece conclude a key bailout review on time, Prime Minister Alexis Tsipras said on Sunday.

Euro zone governments in June approved another 11th-hour credit line for Greece, worth nearly $10 billion, after the IMF said it would join the country’s current bailout, the third since 2010, in principle.

Greece: Oil from tanker's sinking prompts beach warnings

Updated 5:27 pm, Wednesday, September 13, 2017

San Francisco Gate

ATHENS, Greece (AP) — Greek authorities have appealed to swimmers to stay away from some popular beaches on the coast of Athens after oil spilled from a sunken tanker started to reach the area.
Small slicks were reported at beaches in the suburbs of Glyfada and Piraeus Wednesday. Glyfada Mayor Giorgos Papanikolaou says municipal workers have set up floating booms offshore and used chemicals to try to dissolve the oil.
The small Agia Zoni II tanker sank Sunday while anchored off the coast of Salamina island, just off Greece's main port of Piraeus. It was carrying 2,200 tons of fuel oil and 370 tons of marine gas oil.

Merchant Marine Minister Panagiotis Kouroumplis says divers have sealed the ship's cargo holds and work is due to start on pumping out the remaining fuel.

Greece to Beat Budget Target, Plans More Bonds-Finance Ministry Official

By REUTERS
SEPT. 13, 2017, 7:48 A.M. E.D.T.

ATHENS — Greece expects a larger-than-targeted primary budget surplus this year and plans to tap bond markets again within seven months, a senior finance ministry official said on Wednesday.

Athens is keen to quickly conclude a third bailout review with its international creditors, helping smooth its return to market financing, as its rescue programme ends next August.

Greece returned to bond markets for the first time in three years in July. It sold 3 billion euros of new five-year bonds alongside a tender to buy back outstanding 5-year paper issued in 2014.

Greece: Where Literally Sitting on Goldmine Is Not Enough to Make Money

By Sotiris Nikas , Paul Tugwell , and Danielle Bochove
11 Σεπτεμβρίου 2017, 3:50 μ.μ. EEST 11 Σεπτεμβρίου 2017, 8:31 μ.μ. EEST

Bloomberg

“Irrespective of what will happen next, the damage for Greece as an investment destination is done and it is very significant,”

Eldorado Gold Corp. has put Greece on the spot.

The Canadian mining company’s decision on Monday to suspend all its operations in Greece, citing delays in acquiring routine permits, puts the Syriza government of Prime Minister Alexis Tsipras in a difficult position. Eldorado Gold is the largest foreign investor in Greece and its decision comes as the country, which is working on creating a sustainable path to exit its bailout program, tries to lure foreign investments.

Why Europe's Central Bank Shouldn't Worry About the Euro

Instead, it should focus on increasing flexibility in the conduct of monetary policy.
By Ferdinando Giugliano
8 Σεπτεμβρίου 2017, 9:30 π.μ. EEST

The European Central Bank has spent much of this decade convincing markets that the euro is irreversible. It is therefore mildly ironic that policy makers in Frankfurt may be in trouble because of the sudden return of confidence in the single currency.

Greece Offers Latest Effort to Reform Public Sector, a Key Bailout Demand

Aug. 30, 2017, at 1:08 p.m

US News

ATHENS (Reuters) - Greece's government presented a three-year plan to overhaul the country's public sector on Wednesday, the latest attempt to fix a problem that helped plunge the country into its worst crisis in decades seven years ago.

Athens, which has signed up for three international bailouts since 2010, has promised its lenders to shrink and modernize its administration to cut costs, make it more efficient and end a legacy of patronage hiring.

The leftist-led government says it aims to evaluate and educate state workers, distribute staff according to the sector's needs and seek candidates with digital skills, create online databases and simplify regulation by 2019.

UPDATE 1-Greece's Eurobank, Piraeus profitable in Q2, bad debt levels ease

AUGUST 30, 2017 / 7:43 PM / 15 HOURS AGO
Reuters Staff
4 MIN READ
* Eurobank posts 8.8 percent rise in Q2 profit

* Non-performing loans ease to 34.6 pct of book

* Piraeus Bank swings to 7 mln euro profit in Q2 (Adds Eurobank, Piraeus CEOs comment, details)

By George Georgiopoulos

ATHENS, Aug 30 (Reuters) - Greece’s Eurobank reported a sixth straight quarterly profit on Wednesday and Piraeus Bank swung back into the black, pointing to a recovery from the nation’s economic crisis as banks slowly reduce their pile of bad debts.

Greek banks have been struggling with problem loan portfolios after a protracted recession pushed unemployment to record highs, making it hard for borrowers to service debts.

First on CNN: US troops exchange fire with Turkish-backed rebels in Syria

By Ryan Browne, CNN
Updated 1927 GMT (0327 HKT) August 29, 2017

(CNN)US troops in northern Syria came under direct attack last week by Turkish-backed rebels, a military official with the coalition fighting ISIS told CNN Tuesday. The official said that while US troops returned fire there were no casualties on either side.

The coalition believes the attackers are part of the Turkish-backed opposition forces, a loose grouping of Arab and Turkmen fighters that have helped the Turkish military clear ISIS from the Turkish-Syria border area.

Iran Building Weapons Factories in Lebanon and Syria, Israel Says

By ISABEL KERSHNERAUG. 29, 2017

The New York Times

JERUSALEM — Israel is using a visit this week by the United Nations secretary general, Antonio Guterres, to highlight concerns about what it says are Iran’s efforts to produce advanced, precision weapons in Lebanon and Syria.

“Iran is busy turning Syria into a base of military entrenchment,” Prime Minister Benjamin Netanyahu said at a news conference with Mr. Guterres on Monday, “and it wants to use Syria and Lebanon as war fronts against its declared goal to eradicate Israel.”

Chastised by E.U., a Resentful Greece Embraces China’s Cash and Interests

By JASON HOROWITZ and LIZ ALDERMANAUG. 26, 2017

The New York Times

ATHENS — After years of struggling under austerity imposed by European partners and a chilly shoulder from the United States, Greece has embraced the advances of China, its most ardent and geopolitically ambitious suitor.

While Europe was busy squeezing Greece, the Chinese swooped in with bucket-loads of investments that have begun to pay off, not only economically but also by apparently giving China a political foothold in Greece, and by extension, in Europe.

Last summer, Greece helped stop the European Union from issuing a unified statement against Chinese aggression in the South China Sea. This June, Athens prevented the bloc from condemning China’s human rights record. Days later it opposed tougher screening of Chinese investments in Europe.

Who Will Be Europe’s Alexander Hamilton?

AUG 7, 2017 4

Project Syndicate

SYLVESTER EIJFFINGER
Sylvester Eijffinger is Professor of Financial Economics at Tilburg University in the Netherlands.

TILBURG – Not too long ago, the European Central Bank’s actions were usually met with cheers. But more recently, the ECB has drawn criticism from not just bankers and economists, but also citizens and politicians.
With returns on fixed-income investments decreasing, investors are being forced into equity investments, which have become riskier and more expensive, owing to increased uncertainty about financial and economic stability. That uncertainty reflects the fact that the ECB’s extremely low interest rates are serving to prevent desperately needed structural reforms in eurozone countries with high deficits and debt.

Greece launches new offshore oil and gas tenders

AUGUST 7, 2017 / 3:38 PM / 15 MINUTES AGO

Reuters

ATHENS, Aug 7 (Reuters) - Greece launched two tenders on Monday for offshore oil and gas exploration and exploitation in the west and south of the country, the energy ministry said.

The move follows expressions of interest by a consortium of Total, Exxon Mobil and Hellenic Petroleum for exploration in two sites off the island of Crete, and by Greece's Energean for a block in the Ionian Sea in western Greece.

Greece scapegoats a statistician who only did his job

The Washington Post

By Editorial Board August 4
IN GREECE, the lucrative tourism industry is threatened this summer by millions of oversized jellyfish washing ashore on the nation’s beaches. An even slimier development is the ongoing persecution of the country’s first independent chief statistician, whose tough-minded steps to straighten out Greece’s notoriously fraudulent economic data have been repaid with farcical prosecutions by a judicial system rapidly discrediting itself in the world’s eyes.

Andreas Georgiou, an American-trained economist who spent two decades working at the International Monetary Fund, was hired as Greece’s top statistician in 2010 as the country’s debt crisis was spiraling out of control. His goal was to honestly report economic data that for years had been fudged by politicians and officials seeking to minimize their own fateful fiscal mismanagement.