8 Jul 2015
Will Greece succumb to more austerity or go its own way? – BBH
FXStreet (Barcelona) - The Brown Brothers Harriman Team comments on the key risks ahead for Greece, the submission of another proposal, and Sunday’s Eurogroup meet.
Key Quotes
“We have a new official deadline for Greece: Sunday.”
“The Greek proposal is expected to be delivered on Friday, and then negotiations begin. Short-term financing is back on the table so it looks like a potential deal will come in two parts. A short-term portion would cover the month-end financing needs, including a EUR3.7 bln payment to the ECB. There would then be a long-term one made within a new ESM program.”
“If there is no deal, then we start talking about default and humanitarian aid. Either way, there are no good solutions for Greece anymore.”
“The question is whether it will be succumbing to the demands of its creditors (more austerity), or whether it will be going its own way (the loss in standard of living associated with a Grexit).”
Key Quotes
“We have a new official deadline for Greece: Sunday.”
“The Greek proposal is expected to be delivered on Friday, and then negotiations begin. Short-term financing is back on the table so it looks like a potential deal will come in two parts. A short-term portion would cover the month-end financing needs, including a EUR3.7 bln payment to the ECB. There would then be a long-term one made within a new ESM program.”
“If there is no deal, then we start talking about default and humanitarian aid. Either way, there are no good solutions for Greece anymore.”
“The question is whether it will be succumbing to the demands of its creditors (more austerity), or whether it will be going its own way (the loss in standard of living associated with a Grexit).”