Greece Is Being Forced Out of Eurozone, Venizelos Claims

THE GUARDIAN: Greek finance minister says troika is shifting terms of €130bn bailout deal as part of move to force country out of eurozone

Greece rounded bitterly on its EU paymasters when the finance minister and socialist leader, Evangelos Venizelos, accused the eurozone of deliberately changing the terms of a proposed €130bn (£110bn) bailout because key players wanted to kick the country out of the single currency.

The charge that some eurozone countries were seeking to engineer a Greek sovereign default and exit from the euro deepened the rancour between debtor and creditors in the dangerous standoff. "There are many in the eurozone who don't want us any more," Venizelos declared at a meeting with President Karolos Papoulias. "We are constantly being given new terms and conditions."

Papoulias went even further, denouncing Germany and Greece's north European creditors after Wolfgang Schäuble, the German finance minister, said that Greece must not turn into a "bottomless pit" for eurozone bailout funds and that Europe was better prepared than when the crisis erupted two years ago to cope with a Greek sovereign default.

"Who is Mr Schäuble to ridicule Greece? Who are the Dutch? Who are the Finns?" declared the Greek head of state. "I don't accept insults to my country by Mr Schäuble." » | Ian Traynor and Larry Elliott | Wednesday, February 15, 2012

Germany Ready to Give Greece Financial Aid to Tackle Refugee Crisis

THE GUARDIAN: Berlin acknowledges Greek economy too weak to cope with influx and is willing to give support in return for more robust border controls

Germany is willing to give Greece financial backing to deal with the unprecedented refugee crisis on its own soil instead of exporting it north towards central Europe.

With thousands of refugees pouring into Greece every day and the economy still sputtering, officials in Berlin indicated that Germany would come up with support for Athens in return for a more robust effort to control its borders in the Aegean Sea.

Stressing that there was no connection between any support linked to refugees and the bailout deal agreed this year, as had been suggested in German media, the government admitted Greece’s economy was too delicate for it to be able to deal with the crisis on its own.

“We want to support Greece in this, so that it is able to meet its duties as a member of the EU to protect its borders in the most effective way,” the government spokesman Steffen Seibert told journalists in Berlin. » | Kate Connolly in Berlin and Helena Smith in Athens | Friday, October 16, 2015

Greece Poll: Pro-bailout Party's Narrow Win Hailed
BBC: World leaders have welcomed the narrow election victory of Greece's broadly pro-bailout New Democracy party and urged Athens to form a cabinet quickly.

The eurozone group said reforms were Greece's "best guarantee" to overcome tough economic and social challenges.

European markets reacted positively, rising in early trading after Asia had also recorded gains.

The Syriza party, which rejected the bailout terms and came a close second, said it would lead the opposition.

With 99.9% of ballots counted, interior ministry results put New Democracy on 29.7% of the vote (129 seats), Syriza on 26.9% (71) and the socialist Pasok on 12.3% (33). There are 300 seats in parliament and Greece has a rule that gives the leading party 50 extra seats.

Greek voters had gone to the polls on Sunday following inconclusive elections in May. New Democracy leader Antonis Samaras said Greeks had chosen to stay in the euro and called for a "national salvation government".

Syriza's leader Alexis Tsipras said his party would not take part in the government, and would instead become a powerful anti-austerity voice in the opposition. » | Monday, June 18, 2012

Greek Debt Crisis: Eurozone Ministers Meet Amid Deepening Gloom

THE GUARDIAN: Finance ministers to throw Greece a €12bn lifeline but meeting marked by pessimism over fate of euro

Europe's single currency governments are expected to throw Greece a summer lifeline, agreeing to disburse €12bn by next month to keep the debt-stricken country from going broke and triggering an international crisis.

But the meeting in Luxembourg of finance ministers from the 17 eurozone countries also faced the much bigger challenge of trying to structure a new three-year bailout for Greece in a way that would persuade European banks, pension funds and other private creditors to roll over the country's ballooning debt.

The Eurogroup meeting took place amid a mood of growing futility over Greece and pessimism over the fate of the euro.

"We wouldn't be able to control an insolvency," warned the German chancellor, Angela Merkel. "We all lived through Lehman Brothers. I don't want another such threat to emanate from Europe." » | Ian Traynor in Brussels | Sunday, June 19, 2011

Storm Daniel Batters Greece, Turkey and Bulgaria with Heavy Rain | DW News

Sep 6, 2023 | In Europe Storm Daniel has battered Greece, Turkey and Bulgaria causing landslides and further damage with the deluge. Nine people are confirmed to have died so far. The storm has dumped vast amounts of water on south-eastern Europe, with Greece recording the highest level of rainfall since at least 2006. The floods in Greece follow weeks of drought and wildfires. The government says climate change is to blame.

Articles en français liés à cette vidéo.

Greece Calls for Activation of Financial Rescue Package
Prime Minister George Papandreou announces in a televised address on Friday from the island of Kastelorizo that Greece has requested international bailout funds. Photograph: The New York Times
THE NEW YORK TIMES: ATHENS — Describing his country’s economy as “a sinking ship,” the Greek prime minister formally requested an international bailout on Friday, an unprecedented step that will test the bonds of the European Union.

In a nationally televised address, Prime Minister George Papandreou said two waves of austerity measures introduced by the government over the past few months “had failed to convince the markets” that Greece would get its finances under control or be able to avert defaulting on a mountain of debt.

“There is the risk of the sacrifices of the Greek people being lost as rates of borrowing continue to rise,” he said, speaking from the Aegean island of Kastellorizo.

“The time has come for us to ask our partners in the E.U. to activate the mechanism we formulated together,” he said, referring to an emergency aid package arranged two weeks ago. The plan foresees up to €30 billion, or $40 billion, in loans from Greece’s euro-zone partners, as well as up to €15 billion from the International Monetary Fund.

The activation of the E.U.-I.M.F. rescue plan, Mr. Papandreou said, “will send a strong message to the markets that the E.U. is not playing their game and will not leave its currency at risk.”

The announcement means that funding from the I.M.F. can be expedited once the board of the fund has approved the terms. The fund is expected to provide €12 billion, according to E.U. officials.

“We are prepared to move expeditiously on this request,” Dominique Strauss-Kahn, the I.M.F. managing director, said in a statement issued in Washington. >>> Niki Kitsantonis and Matthew Saltmarsh | Friday, April 23, 2010

Greece Calls New Election After Coalition Talks Fail

REUTERS.COM: Greece abandoned a nine-day hunt for a government on Tuesday and called a new election that threatens to hasten the nation's slide towards bankruptcy and a future outside the euro zone.

An inconclusive election on May 6 left parliament split between supporters and opponents of a 130 billion euro bailout deal which is reviled by Greeks for imposing deep wage, pension and public spending cuts.

A second election is expected to produce a similarly divided parliament, with opponents of the EU/IMF rescue consolidating their gains and raising the likelihood of an anti-bailout coalition that reneges on the deal keeping Greece afloat.

"For God's sake, let's move towards something better and not something worse," Socialist leader Evangelos Venizelos told reporters after a meeting of party leaders failed to agree on a government of technocrats. "Our motherland can find its way, we will fight for it to find its way."

European leaders have said they will halt the aid if promises given in return for the bailout are not kept. If so, Greece could go bankrupt as early as next month. Analysts say that this will almost certainly herald a Greek return to its drachma national currency. » | Lefteris Papadimas and Dina Kyriakidou | ATHENS | Tuesday, May 15, 2012

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The Country Must Come First, Not Party Politics
THE SUNDAY TELEGRAPH – Editorial: For the sake of the nation, a deal should be struck, and quickly.

Nick Clegg and David Cameron face pressure to work out an accord swiftly. Photograph: The Sunday Telegraph
The ideal outcome from last week’s election, as we argued forcefully in these pages, would have been a government – preferably a Conservative government – with the mandate and majority needed to tackle the urgent problems that this country faces. We stressed that the haggling and uncertainty that accompany a hung parliament would make it all but impossible to restore the public finances to order, get a grip on immigration, reform the education system, and much else besides. Yet the absence of a strong government is about to cost us extremely dear in another way, too.

As we report today, Nicolas Sarkozy, the French president, has persuaded other members of the eurozone that they can interpret a clause in the Lisbon Treaty so as to force every country belonging to the EU to contribute unspecified, and potentially unlimited, sums to bailing out insolvent members of the eurozone. It means that to keep the single currency going, in the event of future Greek-style collapses, Britain will have to write a blank cheque.

This cynical, underhand and anti-democratic move has been prompted by the stresses that the colossal budget deficits of the weaker members of the euro – Greece, Portugal, Ireland, Spain, Italy – have placed on the currency itself. Last week, France and Germany agreed that Greece should receive an emergency loan of 110 billion euros. The injection of cash is at most a stay of execution, not a solution to the problem, whose root cause is that Greece, being in the euro, cannot devalue its currency and so cannot make its exports competitive, and thereby earn the money it needs to repay its debts. The obvious solution is for Greece to leave the euro. But that would be a humiliation for Europe’s politicians and bureaucrats, for it would show that the fundamental objection to it – that it could not be viable across countries that are at such different levels of economic development ­– is correct. So, instead, they have decided that in future all the other members of the EU, including Britain, will foot the bill. >>> Telegraph View | Sunday, May 09, 2010

German Cabinet Minister Calls for Greek Euro Exit
THE DAILY TELEGRAPH: Germany’s interior minister called for Greece to leave the eurozone on Saturday as hopes that the world’s richest countries would stump up more cash to help the International Monetary Fund (IMF) fight Europe’s debt crisis faded.

Becoming the first member of Germany’s cabinet to openly call for a Greek exit, Hans-Peter Friedrich told Der Spiegel magazine that Greece’s chances of restoring its financial health would be greater outside the euro.

“I’m not saying that Greece should be thrown out but rather to create incentives that it can’t say ‘no’ to,” he added.

His comments came as eurozone leaders faced calls to increase their own efforts before any more money is made available from the IMF. Fresh from agreeing a second €130bn (£110bn) bail-out for Greece, there were hopes that this weekend’s gathering of G20 finance ministers in Mexico City would achieve a deal on how to ramp up the IMF’s own European war chest by as much as $600bn (£378bn).

UK Treasury officials made it clear that any new deal with the IMF was now likely to be delayed until meetings in April. Eurozone leaders have been negotiating with the US, China and Japan to contribute more to the IMF to build a “financial firewall” that would shield the likes of the Spanish and Italian economies from any intensification of the region’s crisis this year. » | Richard Blackden, in Mexico City | Saturday, February 25, 2012

German President Apologizes for Nazi-era Massacre

YNET NEWS: During a diplomatic trip to Greece, President Joachim Gauck visited site of 1943 atrocity to pay respect, ask the families for forgiveness.

A visibly emotional German president laid a wreath Friday at a monument in northwestern Greece to villagers massacred by German soldiers during World War II, at the end of a three-day visit that combined political talks with efforts to bring closure to wounds from the German wartime occupation of Greece.

Joachim Gauck expressed "shame" at the 1943 atrocity at Ligiades, where Nazi troops executed dozens of villagers, including months-old babies, in reprisal for a partisan attack: "With shame and pain I ask the families of those murdered for forgiveness in Germany's name."

The German president emphased: "I pay my respects to the victims of the monstrous crimes mourned here and in many places across Greece." » | Associated Press | Friday, March 07, 2014

Euro Crisis Goes Global as Leaders Fail to Stop the Rot
THE GUARDIAN: G7 demands action from Europe after markets plunge / Fears that banks' exposure to debt could wreck recovery

Germany's Angela Merkel and other European leaders is [sic] under increasing pressure over the Greek debt crisis going global as markets were in turmoil. Photograph: The Guardian
The growing crisis in the eurozone threatened to undermine the global economic recovery as markets plunged across the world on fears that European leaders may not be able to contain the debt contagion spreading from Greece.

Stock markets in London, New York, and Shanghai dived following criticism that much delayed and half-hearted measures to rescue Greece were undermining confidence in wider efforts to kick start the world economy.

European shares finished the day at a six-month low while the Dow was down around 1% at 10,424. In Asia, the Shanghai stock market fell to an eight-month low of 2688, down 6.8% on the previous day.

An emergency summit of the 16 leaders of the countries using the single currency was held in Brussels , with Chancellor Angela Merkel of Germany and President Nicolas Sarkozy of France demanding tougher and quicker regulation of the financial markets in what looked like a doomed attempt to contain contagion from the Greek drama.

One factor being discussed last night was to persuade the ECB to launch a new quantitative easing policy – entailing huge loans to distressed governments in the form of buying up their bonds. This is supported by the European Commission, Spain, Portugal, Italy and France, but is certain to run into German opposition.

With the pace of developments outstripping the ability of political leaders to respond, what was initially called as a summit to bless a €110bn (£95bn) rescue package for Greece turned into a frantic exercise in global crisis management.

Alarm bells were ringing in major capitals across the world where leaders voiced their exasperation with European attempts to contain the fallout from Greece. >>> Phillip Inman and Ian Traynor in Brussels | Friday, May 07, 2010

‘Greece Is Like a Rat’s Tail. It Will Come Round to Hit Us’
TIMES ONLINE: Eleni is busy. Beyond the doors of the kitchen you can make out her gentle bullying: agape mia, she seems to be saying, my dear, where are the dolmades for Table 3? And back in the restaurant, with its murals of the blue Aegean, she flits from alcove to alcove listening to the sour jokes from her German customers — “Eleni, don’t expect me to pay the bill for the next three years, you Greeks are already emptying our pockets.” The Germans may be angry with the Greeks but they are not about to go without their ouzo. As the country approaches a critical election tomorrow it is becoming clear that bailing out Greece has become a key issue for Germans. “It’s the dominant topic,” says Klaus-Peter Schöppner, the head of the Emnid polling institute. “People are asking what happens to us if we don’t help the Greeks?”

Other questions are beginning to nag the Germans, too: how much Europe do we really need? Suddenly the European project that was for so long the preserve of the elites — the scrapping of the mark, EU eastward enlargement — has become a matter of public debate. It was instructive to study the faces of German trade unionists on May Day as they made their routine pledges of proletarian support to Greek workers; the cameras captured the bemusement of the listening crowds. Solidarity with the Greeks? Paying them money from our taxes so that they could retire in their late fifties while we slog on until 67? Precisely what European idea makes that possible?

The vote that is bringing these doubts to the surface is being held in North Rhine-Westphalia, a region that encompasses the once heavily industrialised Ruhr Valley. There are big cities such as Cologne and Dortmund struggling with the economic downturn and the crumbling of multicultural communities, great swaths of farmland and also pockets of neglect, as impoverished as anything that can be seen in the heavily subsidised eastern Germany. Eighteen million people live in the region compared with only eleven million in the whole of Greece. It is ruled by a coalition of Christian Democrats and Free Democrats, just like the country as a whole.

The election has become a tight contest. If the Government collapses there, Angela Merkel will lose her majority in the Upper House of parliament — and the plans for a radical overhaul of the tax and health systems will be blocked by the Social Democrats. Popular frustration about Greece, and about Europe, has therefore become a critical factor in Ms Merkel’s future. >>> Roger Boyes | Saturday, May 08, 2010

Zeal and Angst: Germany Torn Over Role in Europe
Helmut Kohl, left, returns to the European stage. Photograph: The Wall Street Journal
THE WALL STREET JOURNAL: LUDWIGSHAFEN, Germany—Helmut Kohl, frail and confined to a wheelchair, returned to public view this week, imploring his countrymen not to abandon the goal he spent his political life pursuing: a united Europe.

"Today, I am convinced more than ever that European unification is a question of war and peace for Europe and for us, and the euro is part of our guarantee of peace," the former chancellor, his voice uneven and raspy, told guests at a celebration for his 80th birthday.

As Chancellor Angela Merkel looked on, Mr. Kohl issued a thinly veiled critique of her reluctance to help Greece, saying he couldn't understand "people who act as if Greece doesn't matter." Of course the situation is difficult, but Germany must pull out all the stops, he said, drawing applause from the crowd.

The scene underscored the threat Greece's turmoil poses to monetary union, the grandest expression of the European continent's drive toward integration. Mr. Kohl led the unification drive two decades ago. Now the increasingly disruptive debt problems in Greece and elsewhere post the question: What price is Germany willing to pay to save Europe? >>> Marcus Walker and Matthew Karnitschnig | Saturday, May 08, 2010

Greece's Neo-Nazi Golden Dawn Goes Global with Political Ambitions
THE GUARDIAN: Buoyed by its meteoric domestic success, the far right party is planning to expand 'wherever there are Greeks'


Emboldened by its meteoric rise in Greece, the far-right Golden Dawn party is spreading its tentacles abroad, amid fears it is acting on its pledge to "create cells in every corner of the world". The extremist group, which forged links with British neo-Nazis when it was founded in the 1980s, has begun opening offices in Germany, Australia, Canada and the US.

The international push follows successive polls that show Golden Dawn entrenching its position as Greece's third, and fastest growing, political force. First catapulted into parliament with 18 MPs last year, the ultra-nationalists captured 11.5% support in a recent survey conducted by polling company Public Issue.

The group – whose logo resembles the swastika and whose members are prone to give Nazi salutes – has gone from strength to strength, promoting itself as the only force willing to take on the "rotten establishment". Amid rumours of backing from wealthy shipowners, it has succeeded in opening party offices across Greece.

It is also concentrating on spreading internationally, with news last month that it had opened an office in Germany and planned to set up branches in Australia. The party's spokesman, Ilias Kasidiaris, said it had decided to establish cells "wherever there are Greeks".

"People have understood that Chrysi Avgi [Golden Dawn] tells the truth," he told a Greek-language paper in Melbourne. "In our immediate sights and aims is the creation of an office and local organisation in Melbourne. In fact, very soon a visit of MPs to Australia is planned." » | Helena Smith in Athens | Monday, April 01, 2013

An Aid Package in the Billions: Merkel's Bluff Called in Poker over Greece
Greek Prime Minister George Papandreou talks with German Chancellor Angela Merkel at an EU summit in Brussels on March 25. Photograph: Spiegel Online International
SPIEGEL ONLINE INTERNATIONAL: The European Union has hammered out a rescue plan for Greece. If Greece goes belly up, Germany will have to fork over 8 billion euros to the relief effort. The government doesn't want to hear about having "buckled." But there's no doubt that Angela Merkel's days as "Madame Non" are behind her.

Christopher Steegmans, spokesman for Chancellor Angela Merkel, decided that the best defense would be to go on the offensive. In a press conference held in Berlin on Monday, he declared that the state of the European Union's decision on whether to help Greece was "unchanged" -- lest anyone have a chance to claim the opposite beforehand. As he described it, discussions about the proposed €30 billion ($40.8 billion) rescue package for the crisis-plagued county were only about "hammering out technical details" but the time for talking about last resorts had yet to arrive. "The fact that the fire extinguisher is on the wall," he stated, "says absolutely nothing about the likelihood of its being used."

In other words: There's no reason to get excited. There's nothing to see here. Go on about your business, please.

But something about his hasty and unprompted justification elicited the feeling that something just wasn't right. Hadn't something happened? Hadn't Angela Merkel earned the moniker of "Madame Non" just a few weeks ago among EU heads of state and governments for being such a hard-nosed negotiator and blocking all moves to quickly provide the cash-strapped Greeks with some financial shots in the arm? And hasn't the conversation suddenly turned to very concrete sums running into the billions of euros that Berlin can use to give Athens a hand? 'Buckled?' >>> Philipp Wittrock | Monday, April 12, 2010

Greece Set for Second General Strike in a Month
BBC: Greece is expected to grind to a halt for the second time in a month as hundreds of thousands of state and private workers stage a general strike.

The stoppage is in protest at the country's austerity measures.

The head of the employers' federation has accused the strikers of trying to make Greece into a charity case.

More groups of workers are staging industrial action and officers from the police, fire and customs services are planning to join the street protests.

Greece's links to the outside world have been severed.

Air traffic controllers have closed the country's airspace for 24 hours and ferries are stuck in harbours as maritime unions join the strike.

The government says it sympathises with public anger over the tax rises and wage cuts, but it is refusing to water down the measures. >>> Malcolm Brabant, BBC News, Athens | Thursday, March, 11. 2010

Tragic Flaw: Graft Feeds Greek Crisis
THE WALL STREET JOURNAL: ATHENS—Behind the budget crisis roiling Greece lies a riddle: Why does the state spend so lavishly but collect taxes so poorly? Many Greeks say the answer needs only two words: fakelaki and rousfeti.

Fakelaki is the Greek for "little envelopes," the bribes that affect everyone from hospital patients to fishmongers. Rousfeti means expensive political favors, which pervade everything from hiring teachers to property deals with Greek Orthodox monks. Together, these traditions of corruption and cronyism have produced a state that is both bloated and malnourished, and a crisis of confidence that is shaking all of Europe.

A study to be published in coming weeks by the Washington-based Brookings Institution finds that bribery, patronage and other public corruption are major contributors to the country's ballooning debt, depriving the Greek state each year of the equivalent of at least 8% of its gross domestic product, or more than €20 billion (about $27 billion).

"Our basic problem is systemic corruption," Greece's Prime Minister George Papandreou said after he took office late last year, vowing to change a mentality that views the republic as a resource to plunder. He later berated the chief of public prosecutions, saying Greeks believe "there is impunity in this country." The chief prosecutor said that wasn't so.

Greece moved closer to a bailout Thursday, requesting aid talks with the International Monetary Fund and the European Union. Many investors and economists say aid would buy Greece time, but wouldn't solve its underlying problems. >>> Marcus Walker | Thursday, April 15, 2010

How Much Does a Grecian Urn?
THE WALL STREET JOURNAL: Greece's dysfunctional economy is now at the heart of a rescue effort that could be disastrous for the entire continent—and the rest of the world.

Plutus, the Greek god of wealth, did not have an easy life. As the myth goes, Plutus wanted to grant riches only to the "the just, the wise, the men of ordered life." Zeus blinded him out of jealousy of mankind (and envy of the good), leaving Plutus to indiscriminately distribute his favors.

Modern-day Greece may be just and wise, but it certainly has not had an ordered life. As a result, the great opportunity and wealth bestowed by European integration has been largely squandered. And lower interest rates over the past decade—brought down to German levels through Greece being allowed, rather generously, into the euro zone—led to little more than further deficits and a dangerous buildup of government debt.

Now Plutus wants his money back. Europe is entering unprepared into a serious economic crisis—and the nascent global recovery could easily collapse due to the unsustainable and Ponzi-like buildup of government debt in weaker countries.

At the end of the G7 meeting in Canada last weekend, Treasury Secretary Tim Geithner told reporters, "I just want to underscore they made it clear to us—they, the European authorities—that they will manage this [Greek debt crisis] with great care."

But the Europeans have not been careful so far. The issues for troubled euro zone countries are straightforward: Portugal, Ireland, Italy, Greece and Spain (known to the financial markets, and not in a polite way, as the PIIGS) had varying degrees of foreign- and bank credit-financed rapid expansions over the past decade. In fall 2008, these bubbles collapsed. >>> Simon Johnson and Peter Boone | Saturday, February 13, 2010

British Tourists in Greece Told to Carry Cash

THE TELEGRAPH: Holidaymakers must have enough cash to cover all their costs and any potential emergencies, George Osborne warns

British tourists going on holiday to Greece have been told by the Government to travel with thousands of pounds worth of euros in cash, despite the risk of them not being insured if they get robbed.

With 150,000 UK holiday makers travelling to Greece every week, George Osborne said that holidaymakers must have enough cash to cover all their costs and any potential emergencies.

However, insurers warned that most families will only be covered for a maximum of £200 if they are robbed while on holiday.

It came as the Government attempted to contact thousands of expat pensioners living in Greece to encourage them to move their savings into British banks as the country teeters on the brink of economic collapse. » | Peter Dominiczak, and Matthew Holehouse | Monday, June 29, 2015

”Greece Has the Feel of a Country on a War Footing”
BBC: Firefighting aircraft from several countries are helping Greece tackle devastating forest fires that have killed at least 60 people.

Large swathes of Greece - from the island of Evia north of Athens to the Peloponnese in the south - have been ravaged by the inferno since Friday.

Greek police have arrested 32 arson suspects, as investigations continue into the origins of the blazes.

A 1m euro (£678,000) reward has been offered to help catch fire-starters.

Dozens of new fires continue to break out, fanned by hot, dry winds.

'War footing'

The BBC's Malcolm Brabant, in Athens, says the police and intelligence services will be keen to discover if there is any link between the suspected arsonist, and whether they are part of an organised scorched earth campaign.

Greece has the feel of a country on a war footing, our correspondent says. Foreigners help fight Greek fires (more)

Map of affected areas

WATCH BBC VIDEO:
Reward to find Greek arsonists

Mark Alexander