Greece expects bailout review to resume next week: minister

Mon Feb 8, 2016 3:43pm GMT

ATHENS | BY RENEE MALTEZOU AND ANGELIKI KOUTANTOU

Reuters

Greece's lenders still need to be persuaded that Athens can plug a bigger than expected fiscal gap when talks on reforms needed under an international bailout resume next week, the finance minister said on Monday.

Talks between the heads of the EU/IMF mission reviewing Greece's progress and the government over a tough pension reform plan, fiscal targets and the handling of bad loans, took a break on Friday after four days of meetings.

Why ring-fencing Greece from Europe won’t solve anything

By Tania Karas February 9, 2016

Reuters

IDOMENI, Greece — The European Union’s weakest link could become an open-air refugee camp if some European leaders get their way. Amid concerns that Greece is failing to protect Europe’s external frontier, calls have grown louder to quarantine it by helping Macedonia seal its southern border — which refugees must cross to continue their journeys north — and suspend Greece from the EU’s passport-free Schengen zone.

Such proposals would effectively ring-fence Greece from the rest of the EU, trapping tens of thousands of asylum-seekers in a politically and economically fragile country with neither the infrastructure nor funds to care for them. Most migrants know this. Hence, Greece has never been their destination. It is merely a conduit to more affluent nations deeper into the continent.

Protests Grow Against Greek Plans to Build Migrant Camps

Residents on the Aegean island of Kos block a Greek army camp

The Wall Street Journal

By NEKTARIA STAMOULI

Updated Feb. 8, 2016 9:48 p.m. ET

17 COMMENTS

ATHENS—Protests against Greek government plans to build camps for refugees and other migrants escalated on Monday, further testing Greece’s ability to meet European Union demands to control the massive inflow of people via the Aegean Sea.

Residents on the Aegean island of Kos, where locals and riot police have been clashing daily since Friday, blockaded an army camp where the government wants to build a migrant registration and screening center, preventing construction work.

THIS is what could push Greece out of the euro

Holly Ellyatt   | @HollyEllyatt

22 Hours Ago

The pressure of thousands of migrants is piling on the pressure on a Greece struggling with a stagnant economy, rising social tensions and political pressure and could push the country back towards an exit from the euro zone, analysts Eurasia Group have warned.

Europe has been left reeling from the influx of migrants heading to the region, most of whom are fleeing civil war in Syria in the Middle East. However, Greece is struggling more than others as it and Turkey have become the first port of call for the migrants.

Cheap Cigarettes Are Burning Greece's Finances

By Nikos Chrysoloras

February 8, 2016 — 2:01 AM EET

On an unremarkable morning on Stournari street in downtown Athens, just a few blocks away from the epicenter of every riot the city has seen during its recent crisis years, two men of Asian origin politely and openly hawk cigarettes to passersby.

The illegal packs of R.G.D.-branded smokes cost 1.50 euros ($1.70) each, less than half the price of 20 Marlboros or Prince at one of Greece’s ubiquitous street kiosks.

As Prime Minister Alexis Tsipras walks another tightrope between creditor demands for additional belt tightening and a social backlash, the scene exposes an unhealthy truth: Greeks could smoke, drink and gamble their way out of their next financial hole, if only they were taxed on all of it.

Exclusive: Iran wants euro payment for new and outstanding oil sales - source

Fri Feb 5, 2016 5:15pm EST

NEW DELHI | BY NIDHI VERMA

Reuters

Iran wants to recover tens of billions of dollars it is owed by India and other buyers of its oil in euros and is billing new crude sales in euros, too, looking to reduce its dependence on the U.S. dollar following last month's sanctions relief.

A source at state-owned National Iranian Oil Co (NIOC) told Reuters that Iran will charge in euros for its recently signed oil contracts with firms including French oil and gas major Total, Spanish refiner Cepsa and Litasco, the trading arm of Russia's Lukoil.

Greek Pensions Reform Sparks Clashes in Test for Tsipras

 Marcus Bensasson

 Eleni Chrepa

Bloomberg

February 4, 2016 — 3:02 AM EET Updated on February 4, 2016 — 7:07 PM EET

The 38-year-old Greek banking and commercial lawyer is part of a month-old bar-association boycott of the country’s courts, in protest against the government’s pension-reform plans. He says they cripple small businesses and the self-employed, raising the tax and social insurance for a young lawyer with annual income of 20,000 euros ($21,900) by 27 percent to 13,800 euros.

“A reform is supposed to be a new scheme that helps you improve an existing situation,” said Vrysopoulos, who started his own law firm in 2011. “This is not a reform at all. It’s a way to get more money to repay your loans as a country.”

Don't Let Greek Pensions Threaten the Euro

4 FEB 2, 2016 2:00 AM EST

By Editorial Board

Bloomberg

Greece is a small country, but for much of 2015 its problems were big enough to threaten the survival of the euro system. A year after Alexis Tsipras took charge as prime minister, the government seems committed to meeting the obligations demanded by its creditors in return for further aid. Neither side should allow the remaining sticking point -- pension reform -- to jeopardize the euro again.

The Greek economy is still in intensive care, and the unemployment rate is stubbornly high, but the situation is improving. The economy is expected to shrink by only 0.7 percent this year, and 2017 could see growth of 1.9 percent. The nation’s credit rating has been upgraded.

Anti-austerity protests are paralyzing Greece

 Reuters

Renee Maltezou and Lefteris Papadimas, Reuters

Feb. 4, 2016, 10:07 AM          3,123  3

ATHENS — Scuffles broke out and the police used teargas during a mass rally in Athens on Thursday as Greeks railed against government pension reforms needed to meet demands of international creditors.

Demanding an end to austerity, about 50,000 Greeks marched on Parliament in central Athens. Breaking away from the main block of demonstrators, black-clad youths hurled stones and petrol bombs at police officers, who responded with rounds of teargas and stun grenades, Reuters witnesses said.

Greece's Economy Is Getting Crushed Between Austerity And The Refugee Crisis

The most common arrival point for refugees entering Europe is a country in dire economic straits.

 02/03/2016 05:46 pm ET | Updated 21 hours ago

The refugee crisis is testing the limits of Greece’s flagging economy, jeopardizing its ability to handle a flow of refugees that shows no signs of slowing.

Added to the existing strains of austerity, the renewed economic pressure from the crisis is stoking fears within the Greek government that a new wave of anti-refugee xenophobia could take hold unless the European Union and Turkey significantly step up to help manage the crisis.

A report by Yannis Stournaras, the governor of the Bank of Greece, confirms as much. The report, presented to the European Central Bank’s general council on Dec. 17, compiles existing research on the economic effects of the refugee flows to demonstrate the risks the crisis poses for Greece.

REFUGEE CRISIS: EUROPE SLAMS GREECE'S BORDER 'NEGLECT'

BY JOSH LOWE ON 2/3/16 AT 12:36 PM

Newsweek

Brussels has accused Greece of “seriously neglecting” its obligation to protect the EU’s external border and urged the country to step up measures to control migration.

The European Commission on Tuesday endorsed a damning report into Greece’s border controls that concluded: “ Greece is seriously neglecting its obligations and there are serious deficiencies in the carrying out of external border controls that must be overcome and dealt with by the Greek authorities.”

Europe’s refugee story has hardly begun

Paul Mason

Monday 1 February 2016 18.45 GMT

The Guardian

With a million new refugees expected in Europe this year, Greece faces a diplomatic onslaught and an existential crisis

he refugee story has hardly begun. There will be, on conservative estimates, another million arriving via Turkey this year – and maybe more. The distribution quotas proposed by Germany, and resisted by many states in eastern Europe, are already a fiction and will fade into insignificance as the next wave comes.

Germany itself will face critical choices: if you’re suddenly running a budget deficit to meet the needs of asylum seekers, how do you justify not spending on the infrastructure that’s supposed to serve German citizens, which has crumbled through underinvestment in the Angela Merkel era?

40 percent of Germans demand Merkel's resignation over refugee policy, poll says

Unhappy with her government's refugee policy, four out of 10 Germans want Chancellor Merkel to resign, a new poll has shown. The news came just after the ruling grand coalition unveiled its new asylum package.

Deutsche Welle

2-2-2016

While 39.9 percent of Germans surveyed by the pollster Insa for "Focus" magazine said Chancellor Angela Merkel's refugee policy is grounds for her to step down, 45.2 percent of the more than 2,000 people polled said they did not believe she should leave office. The remaining 15 percent did not state an opinion.

Merkel has long enjoyed high popularity ratings among Germans but that support has dwindled in recent months, particularly as the numbers of asylum seekers entering Germany from the Middle East and North Africa has increased.

BofA: The Oil Crash Is Kicking Off One of the Largest Wealth Transfers In Human History

A $3 trillion shift year from oil producers to global consumers.

 Joe Weisenthal

 TheStalwart

February 1, 2016 — 4:49 AM EET

Bloomberg

Economists are still hotly debating whether the oil crash has been a net positive for advanced economies.

Optimists argue that cheap oil is a good thing for consumers and commodity-sensitive businesses, while pessimists point to the hit to energy-related investment and possible spillover into the financial system.

A new note from Francisco Blanch at Bank of America Merrill Lynch, however, puts the oil move into a much bigger perspective, arguing that a sustained price plunge "will push back $3 trillion a year from oil producers to global consumers, setting the stage for one of the largest transfers of wealth in human history."

Blanch and his team already see evidence that the fall in the price of crude is having a positive impact on demand, and say that it could accelerate even further if prices don't pick up.

U.S. Warship Enters Waters Claimed by China Without Approval

  Alan Bjerga

January 30, 2016 — 5:53 PM EET Updated on January 31, 2016 — 8:58 AM EET

Bloomberg

The Pentagon confirmed it sent a ship into waters claimed by China, calling it a “freedom of navigation” operation meant to challenge attempts by that country and others to restrict navigation in the area.

The USS Curtis Wilbur got to within 12 nautical miles (22 km) of Triton Island in the South China Sea, Defense Department spokesman Mark Wright said by e-mail Saturday.

The island, administered by China, is part of the Paracel islands chain in the South China Sea also claimed by Vietnam and Taiwan. Taiwanese President Ma Ying-jeou ignored a rebuke from the U.S. and visited an island in the contested area earlier this week, reiterating claims to the disputed waterway.

U.S. Broadens Fight Against ISIS With Attacks in Afghanistan

By MICHAEL S. SCHMIDT and ERIC SCHMITTJAN. 31, 2016

WASHINGTON — The United States has carried out at least a dozen operations — including commando raids and airstrikes — in the past three weeks against militants in Afghanistan aligned with the Islamic State, expanding the Obama administration’s military campaign against the terrorist group beyond Iraq and Syria.

The operations followed President Obama’s decision last month to broaden the authority of American commanders to attack the Islamic State’s new branch in Afghanistan. The administration — which has been accused by Republicans of not having a strategy to defeat the group — is revamping plans for how it fights the terrorist organization in regions where it has developed affiliates.

Economists to Cameron: refugee crisis response 'morally unacceptable'

In open letter to PM, more than 120 leading economists including former UN and World Bank officials say UK can do far more

The Guardian

More than 120 leading economists, among them former government, UN and World Bank officials, have lambasted the UK government’s response to the refugee crisis, calling it seriously inadequate, morally unacceptable and economically wrong.

In an open letter to David Cameron, the economists argue that as the world’s fifth-largest economy, the UK “can do far more” and are calling on the government to take a “fair and proportionate share of refugees, both those already within the EU and those still outside it”.

Greece Resists Its Role as European Union’s Gatekeeper

By LIZ ALDERMANJAN. 30, 2016

The New York Times

IDOMENI, Greece — On a recent weekday, 40 buses jammed into the parking lot of a gas station near the Macedonian border, carrying thousands of refugees who had survived a perilous crossing on wintry seas from Turkey.

Now they were approaching ground zero in the intensifying debate over how to curb the unceasing stream of men, women and children from war-ravaged and poor nations in the Middle East and Africa heading to the safety and prosperity of Europe.

Greece vs austerity

Greece’s far-left Syriza government is tottering

The Economist

A year after Alexis Tsipras’s sweeping victory, economic woes and scandals threaten to bring him down

Jan 29th 2016 | Europe

ON JANUARY 24th Alexis Tsipras, Greece’s prime minister, gave a rousing speech to his supporters in a stadium in Athens, marking the first year in power of his far-left, anti-austerity Syriza party. He vowed to come down hard on his party’s enemies, and blamed the Greek people’s continuing misery on the opposition. Meanwhile Greece’s public broadcaster, ERT, aired a six-minute retrospective on Syriza’s first year, featuring gauzy shots of Mr Tsipras and a voice-over proclaiming that his government had battled elites, delivered social justice, fixed the economy and made Greece an international symbol of dignity. Even leftists rolled their eyes at the heavy-handed propaganda. But if Mr Tsipras’s speech and video were intended to boost morale, they backfired.

A Russian journalist explains why there is no corruption in Russia

The Washington Post

By Adam Taylor January 28 at 2:33 PM

In the West, many think of modern Russia as near synonymous with corruption. We know all about the oligarchs, the mafia and the "Wild East" capitalism of the 1990s. One recent poll found that Russia was considered one of the more corrupt countries in the world, placing 119 out of 168 on Transparency International's Corruption Perception Index (where a lower ranking indicates a higher perceived level of corruption).

In Greece’s Populism, Precious Lessons for Europe

The New  York Times

Nikos Konstandaras JAN. 28, 201

Athens — It may just be coincidence, but in the year since a radical left movement and an extreme right-wing party joined forces to govern Greece, the resilience of the European Union has been tested. But it may be also that the forces released in Greece have emerged in many other countries, poisoning relations among member states.

The glue that holds Greece’s paradoxical coalition together, and which we see across Europe, is populism. Not some coherent ideology that puts the people’s interests first, but a policy based on opportunism, on cultivating a grandiose sense of national identity and then presenting that identity as being threatened by domestic and foreign enemies. It uses current problems to undermine efforts at solutions, and conjures past and future utopias rather than trying to keep up with dizzying change.

Europe Raises Pressure on Greece to Tighten Its Borders

By JAMES KANTERJAN. 27, 2016

 The New York Times

BRUSSELS — The European Union authorities on Wednesday raised pressure on Greece to step up its efforts to slow the flow of migrants and tighten control of the bloc’s external borders, the first step in a process that would allow some countries to its north to extend their border controls for up to two years.

Valdis Dombrovskis, a vice president of the European Commission, the bloc’s executive body, said that Greece was “seriously neglecting its obligations” by failing to properly register and fingerprint migrants. That conclusion led the commission to file a report to member states detailing “persistent and serious deficiencies” by Greece at controlling its borders.

Refugee trail: Postcards from the mud, misery, anger and hope

By Rachel Clarke, CNN

Updated 0437 GMT (1237 HKT) January 28, 2016

(CNN)Refugees are still striving to reach Europe. Young men, families, the elderly are trekking through snow, seeking shelter and local aid or perhaps beginning to think of a new, brighter future.

But the Europe so many have reached is now fractured in its reaction -- some as open and welcoming as at the height of compassion last year in the wake of the drowning of Syrian toddler Alan Kurdi, but many not. With migrants blamed for New Year's Eve harassment and rape and even now a killing, some communities and governments are taking a tougher line.

This week, CNN met locals and migrants across the continent and beyond. Here are snapshots of what we found.

Opinion: Greece - a lost year

The victory of the radical left-wing Syriza party in Greece exactly one year ago was a political earthquake for Europe. Spiros Moskovou takes a very critical look at the past 12 months with Alexis Tsipras.

Deutche Welle

After his surprisingly clear election victory, the people's tribune Alexis Tsipras formed a new government in record time with the right-wing populist Anel party. Back then, Tsipras was promising an end to austerity policies and the decisive renegotiation of the bailout package with Greece's international creditors.

GREECE FURIOUS OVER SCHENGEN SUSPENSION PLANS

BY JOSH LOWE ON 1/26/16 AT 8:50 AM

Newsweek

Greece has responded furiously to proposals to modify the Schengen agreement which would see the country’s borders effectively sealed off from the rest of the continent.

EU interior ministers meeting in Amsterdam on Monday discussed moving the southern frontier of the passport-free travel zone, which includes most of the EU, to the north, deploying joint police forces along the Macedonia-Greece border. Other European states piled pressure on Greece to do more to control the influx of migrants into Europe via its shores.

China Deepens Its Footprint in Iran After Lifting of Sanctions

By THOMAS ERDBRINKJAN. 24, 2016

The New  York Times

ZARRINABAD, Iran — Rising from the yellowish, treeless plains so typical for central Iran stands a square labyrinth of pipes and conveyor belts, topped by a silver chimney that glitters in the summer sun.

Sanctions against Iran failed to halt the construction of the complex, a steel mill that went into operation in September and now churns out ingots and billets. The sanctions also did not stop Sheng Kuan Li, a Chinese businessman, from pouring $200 million into the project.

SYRIZA ANNIVERSARY: WHAT HAS ALEXIS TSIPRAS ACHIEVED?

BY JOSH LOWE ON 1/24/16 AT 2:32 PM

Newsweek

Power can do funny things to a person. Just look at the panel Greek Prime Minister Alexis Tsipras sat on at the World Economic Forum in Davos on Thursday. There, the former firebrand, besuited and sporting a fancy watch, shared a stage with an old foe, German Finance Minister Wolfgang Schauble, and other EU leaders. Tsipras solemnly warned an audience of brainy business types and the global super-rich about the dangers of “populism” for Europe.

China fourth-quarter growth weakest since 2009 as policy misstep fears grow

Markets | Tue Jan 19, 2016 2:37am EST Related: CHINA

BEIJING | BY KEVIN YAO AND XIAOYI SHAO

China's economic growth in the fourth quarter slowed to the weakest since the financial crisis, adding pressure on a government that is struggling to restore the confidence of investors after perceived policy missteps jolted global markets.

Concerns about China's policy making ability have shot to

the top of global investors' risk lists for 2016 after a renewed plunge in its stock markets and yuan currency CNY=CFXS stoked worries that the economy may be rapidly deteriorating.

Xi’s new model army

Xi Jinping reforms China’s armed forces—to his own advantage

Jan 16th 2016 | BEIJING

The Economist

CHINA’S biggest military shake-up in a generation began with a deliberate echo of Mao Zedong. Late in 2014 President Xi Jinping went to Gutian, a small town in the south where, 85 years before, Mao had first laid down the doctrine that the People’s Liberation Army (PLA) is the armed force not of the government or the country but of the Communist Party. Mr Xi stressed the same law to the assembled brass: the PLA is still the party’s army; it must uphold its “revolutionary traditions” and maintain absolute loyalty to its political masters. His words were a prelude to sweeping reforms in the PLA that have unfolded in the past month, touching almost every military institution.

Opposition leader’s landslide win in Taiwan puts onus on China to respond

The Washington Post

By Simon Denyer January 17 at 2:44 PM 

TAIPEI, TAIWAN — A stunning victory for Taiwan’s opposition and the election of the island’s first female president Saturday signal a new era and send a clear message: Taiwan is coming of age as a democracy.

The question is whether Beijing is listening, and how it will respond.

Even as the final votes were being tallied, President-elect Tsai Ing-wen was reaching out to China and calming any fears the giant neighbor might have.

Tsai’s Democratic Progressive Party considers Taiwan to be a sovereign, independent nation, but it sees no need to anger Beijing by making a formal declaration of independence. But Tsai went further, promising in her victory speech that she would rise above party politics, maintain peaceful and predictable relations with Beijing, and avoid doing anything provocative.

Greece Seeks German Know-How to Tackle Tax Evasion

By THE ASSOCIATED PRESS ATHENS, Greece — Jan 16, 2016, 4:04 PM ET

Greece has turned to a German state government to seek help in combating tax evasion.

Greek tax officials, initially numbering about 50, will be trained by the tax authorities of North Rhine-Westphalia, a state noted for its success in persuading German citizens to repatriate capital they had whisked abroad to avoid taxation. Their efforts have resulted in 1 billion euros ($1.09 billion) in extra revenue since 2010.

Next Up for Greece: How to Shrink the Debt

Political talks to begin after first bailout review is done

The Wall Street Journal

By VIKTORIA DENDRINOU

Jan. 14, 2016 1:44 p.m. ET

Greece’s creditors are expected to start talking soon over an issue that has been looming over the eurozone since 2010: cutting the country’s mountainous debt burden.

Greece already sliced its debts to private lenders through a bond swap in 2012. But that wasn’t enough. Now, most of its debt is owed to other eurozone governments, which have conceded Athens needs more relief.

After Nuclear Test, South Korea Urges China to Rein In North

The New York Times

By CHOE SANG-HUNJAN. 13, 2016

SEOUL, South Korea — A week after North Korea conducted its fourth nuclear test, President Park Geun-hye of South Korea urged China on Wednesday to do more to rein in the North, amid growing criticism that Ms. Park’s policy of building stronger ties with Beijing was not showing results.

“China has repeatedly said publicly that it would not tolerate North Korea’s nuclear weapons,” Ms. Park said in a nationally televised speech. “I think China is fully aware that if such strong will is not matched by necessary measures, we cannot prevent fifth and sixth nuclear tests by the North or guarantee real peace and stability on the Korean Peninsula.”

As Taiwan’s Workers Flock to China, Concerns About Economy Grow

By AUSTIN RAMZYJAN. 13, 2016

The New York Times

TAIPEI, Taiwan — Jason Lee spent most of the last decade building a business in a field for which Taiwan is famous. With three friends, he founded an animation studio here, churning out TV shows and special effects for games and films.

But costs rose and orders dried up, and they closed up shop in 2011. A few years later, Mr. Lee left Taiwan for mainland China, where he was hired to run an animation studio in the city of Qingdao. Five months ago, he started his own studio there. He has 20 employees, a number he hopes to double after the Chinese New Year next month — growth he could not have imagined in Taiwan.

Greece Renews Challenge to Creditors’ Austerity Policies

Labor Minister says stimulating growth, not belt-tightening, is best way to bolster country’s finances

The Wall Street Journal

By NEKTARIA STAMOULI and  MARCUS WALKER

Jan. 12, 2016 4:41 a.m. ET

ATHENS—Greece’s left-led government renewed its challenge to its creditors’ austerity policies on Tuesday, vowing to resist further pension cuts while calling on Europe to let Greece meet budget targets mainly via economic growth, not belt-tightening.

“The best way to fill this gap [in Greece’s budget] isn't by reducing, but by increasing the economy,” Labor Minister George Katrougalos said in an interview with The Wall Street Journal.

U.S. may send more strategic weapons to Korean peninsula: South Korea

Mon Jan 11, 2016 4:51am EST Related: WORLD, SOUTH KOREA

SEOUL | BY JU-MIN PARK AND JEE HEUN KAHNG

Reuters

The United States and its ally South Korea were discussing on Monday sending more strategic U.S. weapons to the Korean peninsula, a day after a U.S. B-52 bomber flew over South Korea in response to North Korea's nuclear test last week.

North Korea said it set off a hydrogen bomb last Wednesday, its fourth nuclear test since 2006, angering China, the North's main ally, and the United States, which said it doubted the device was a hydrogen bomb.

France 'convinced Greece will live up to economic reform promises'

Sun Jan 10, 2016 4:52pm EST

PARIS

Reuters

Greece found an ally in France's finance minister on Sunday as Athens seeks support from its European creditors for its efforts at economic reforms that are crucial to opening talks on easing its debt burden.

Speaking after meeting in Paris with his Greek counterpart, who is on a tour of euro zone capitals, French Finance Minister Michel Sapin said he was won over and that France was in favor of moving on to tackling the debt issue quickly.

Putin: US and NATO want to 'sit on the throne in Europe alone'

Deutsche Welle

11-1-2015

Russian President Vladimir Putin has defended his policies in Ukraine and Crimea and slammed NATO expansion and the United States. He also said he trusts German Chancellor Angela Merkel.

Russian President Vladimir Putin slammed western sanctions against his country as "geo-political" rather than aimed at solving the crisis in Ukraine and criticized NATO expansion and the United States for trying to impose its will, in a wide-ranging interview published Monday in the popular German daily newspaper "Bild."

Greece's conservatives choose reformer to lead

11-1-2015

Deutsche Welle

The conservative New Democracy party has voted in no-nonsense reformer Kyriakos Mitsotakis as its new leader. The Harvard-educated economist is expected to challenge Greece's charismatic Prime Minister Alexis Tsipras.

The party announced Mitsotakis' victory after 70 percent of the nationwide vote was counted, with the new leader claiming 51 percent of the vote to former parliament chief Vangelis Meimarakis' 49 percent.

Kyriakos Mitsotakis Elected to Lead Greece’s Conservatives

New Democracy voters choose former administrative reforms minister over rival Vagelis Meimarakis

By STELIOS BOURAS

Updated Jan. 10, 2016 6:44 p.m. ET

1 COMMENTS

ATHENS—Greece’s main opposition party, center-right New Democracy, elected Kyriakos Mitsotakis as its new leader, a party spokesman said, making the 47-year-old former minister the main challenger to Greek Prime Minister Alexis Tsipras.

Mr. Mitsotakis, the American-educated scion of one of Greece’s most prominent political dynasties, is an advocate of market-oriented economic overhauls, including slimming down Greece’s often-inefficient state. His surprise victory in Sunday’s party leadership ballot provides a boost to the cause of economic reforms of the kind demanded by Greece’s creditors, whose bailout loans have been keeping Greece from bankruptcy since 2010.

A New Economic Era for China Goes Off the Rails

By KEITH BRADSHERJAN. 7, 2016

The New York Times

HONG KONG — When President Xi Jinping of China convened a group of top officials to discuss the economy last month, the highly publicized meeting was seen as a moment of triumph.

A stock market plunge last summer, and a messy currency devaluation that followed, had faded from global view. In the relative calm, he seemed to usher in a new era of economic management, promising policy coordination at the highest levels to prevent another bout of turmoil.

Less than three weeks later, his plans have been derailed as China’s stock market and currency once again rattle investors around the world. The latest rout sets up a challenge for Mr. Xi, who has positioned himself as the master of the country’s economy.

Police Report of Cologne New Year’s Eve Details Chaos, Overwhelmed Force

Angela Merkel signals willingness to toughen deportation procedures

The Wall Street Journal

By RUTH BENDER

Updated Jan. 7, 2016 4:18 p.m. ET

142 COMMENTS

A detailed account of the mass assaults in Germany’s fourth-largest city on New Year’s Eve emerged Thursday, drawing a picture of chaos and aggression that left police overstretched and attackers enjoying virtual free rein.

An internal federal police report dated Jan. 4 and seen by The Wall Street Journal described scenes in Cologne of crying women fleeing sexual molestation from crowds of men, passersby trying to rescue young girls from being raped, and groups of intoxicated men throwing bottles and fireworks at a police force no longer in control of the situation.

Greece’s Glimmer of New Year Hope

The potential election of Kyriakos Mitsotakis as head of Greece’s main opposition party would be a watershed moment, Simon Nixon writes

The Wall Street Journal

By SIMON NIXON

Jan. 6, 2016 3:35 p.m. ET

It is easy to list what might go wrong in Europe in 2016: a global economic slowdown that rekindles fears over eurozone debt sustainability; a worsening refugee crisis that leads to the collapse of the Schengen passport-free travel zone; increased political instability as a result of rising support for populist parties; plus the possibility that the U.K. might vote to exit the EU in a referendum likely later this year, which would trigger a political earthquake that would destabilize the entire continent.

Be Scared of China's Debt, Not Its Stocks

107 JAN 7, 2016 5:34 PM EST

By Noah Smith

Bloomberg

China’s stock market is crashing again. After two days this week with big and rapid declines -- the latest of which shut off trading only a few minutes after the open -- Chinese stocks are back in the neighborhood of their mid-2015 lows. The raft of administrative measures that the Chinese government has used to prop up its markets since the big plunge last year seems to only have postponed further declines, rather than prevented them.

Greece Deserves a Break on Pension Reform

25 JAN 7, 2016 4:38 AM EST

By Mark Gilbert

Bloomberg

After teetering on the brink of exiting the euro for much of last year, Greece has started 2016 looking much more likely to hang on to its common-currency membership card. Now, after clearing several reform hurdles set by its creditors, the nation deserves some leeway on the thorny issue of pension reform.

How ISIS runs its economy

By Financial Times

From the site of the World Economic Forum

Dec 16 2015

This article is published in collaboration with The Financial Times.

Even under jihadi rule, death and taxes remain the two great certainties of life. Some learn that the hard way.

As Isis officials announced a religious tithe known as zakat last summer, Mansour, a 26-year-old grocery storekeeper in eastern Syria, stalled payment while he tried to cook his books.

EU enters brave new world of bank bail­ins

By Hugo Dixon

January 4, 2016

Reuters

The author is a Reuters Breakingviews guest columnist. The opinions expressed are his own.

The European Union entered a brave new world of bank “bail­ins” at the start of 2016. Europe has wasted so much taxpayers’ money on bailing out bust banks in recent years that it is right to try to get investors to help foot the bills in future. However, the tough new regime carries big political risks. The key new rule is that no bank can be bailed out with public money until creditors accounting for at least 8 percent of the lender’s liabilities have stumped up. So­called bail­ins typically mean wiping out creditors’ investments, slashing their value or converting them into shares in the bank. Uninsured depositors could get caught along with professional investors.

Stocks Fall Sharply on China Slowdown Worries

Stoxx Europe 600 falls 2.2%, led by 3.3% drop in Frankfurt’s exporter-heavy DAX index

The Wall Street Journal

By RIVA GOLD

Jan. 4, 2016 4:20 a.m. ET

1 COMMENTS

Global stocks sold off sharply on the first trading day of 2016 following fresh signs of an economic slowdown in China.

Weaker-than-expected manufacturing data and a falling currency triggered declines in mainland Chinese stocks so steep that authorities halted trading there for the rest of the day.

European stocks also fell sharply, with the Stoxx Europe 600 down 2.2% in early trade, led by a 3.3% drop in Germany’s exporter-heavy DAX index.

China Lands Test Flight in Disputed Island Chain

Vietnam, Philippines unhappy about flight to new airfield in the South China Sea’s Spratlys

 The Wall Street Journal

By TE-PING CHEN

Updated Jan. 3, 2016 3:54 p.m. ET

105 COMMENTS

BEIJING—China said it landed a test flight on a newly completed airfield in the disputed Spratly Islands in the South China Sea, a sign of its growing military capabilities in the region.

The flight drew a quick protest from Vietnam, which said China had “seriously violated” its sovereignty. A Philippines foreign ministry spokesman said Manila, another claimant in the Spratlys, also planned to lodge a protest with the Chinese.

Greek central banker urges government on bailout reforms

Sat Jan 2, 2016 6:01pm GMT

ATHENS | BY GEORGE GEORGIOPOULOS

Greece's central bank chief has urged the leftist-led government to implement bailout reforms agreed with the country's lenders, warning that backtracking would entail risks the economy could not withstand.

Prime Minister Alexis Tsipras' ruling coalition, which has a majority of just three seats in parliament, faces tough pension reforms that will test his resolve to carry out measures demanded by international creditors.