Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

11/1/2012 (2 years ago)

Catholic Online (www.catholic.org)

Greek financial situation far worse than was ever predicted

The financial situation in Greece is far, far worse than what was originally predicted. So much so, says Telegraph columnist Ambrose Evans-Pritchard, that German Chancellor Angela Merkel will have a lot of explaining to do, saying that her bailout would not negatively impact the German people.

'Having insisted for over two years that German taxpayers face no risk of loss on the Club Med rescue packages - and having indeed told them it generated a profit - she will have to explain why this has gone horribly wrong,' Evans-Pritchard says.

"Having insisted for over two years that German taxpayers face no risk of loss on the Club Med rescue packages - and having indeed told them it generated a profit - she will have to explain why this has gone horribly wrong," Evans-Pritchard says.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

11/1/2012 (2 years ago)

Published in Europe

Keywords: Angela merkel, Germany, Greece, debt, embarrassment


LOS ANGELES, CA (Catholic Online) - According to Evans-Pritchard, "Every detail of the Greek economy is worse than officially forecast just weeks ago."

The public debt will reach 189pc of GDP next year and not the predicted 179pc. He goes on to list a gruesome litany of shortfalls - "The budget deficit will be 5.2pc (not 4.2pc) . The economy will shrink 4.5pc next year (not 3.8pc) . Unemployment is already 25.1pc and 55.6pc for youth."

The cumulative error is colossal, Evans-Pritchard says. "The EU-IMF Troika originally said that the economy would contract by just 2.6pc in 2010, before growing by 1.1pc in 2011, and 2.1pc in 2012.

"In fact Greek GDP contracted by 4.5pc in 2010, 6.9pc in 2011, and will shrink 6.5pc this year, and now 4.5pc next year."

This calamity equals an especially red-faced moment for Chancellor Merkel, "who will have to account for direct losses to the Bundestag. A line will have to be written into the German budget covering the X billions of euros. Other line items may have to be cut. Welfare support for Germans, perhaps.

"Having insisted for over two years that German taxpayers face no risk of loss on the Club Med rescue packages - and having indeed told them it generated a profit - she will have to explain why this has gone horribly wrong," Evans-Pritchard says.
 
"No doubt she will try to delay this awful moment until after the German elections late next year. But the calendar of simmering revolt in Greece is not in her hands. One of the three parties in the pro-Memorandum coalition has already refused to go along with the budget plans. The Government majority is thinning fast."

Evans-Pritchard says that he guesses that Merkel will be forced to admit to her mistakes to the nation, My guess is that Mrs Merkel will be forced to admit "that contingent liabilities are turning into real liabilities long before her elections."

In summations, Evans-Pritchard says that "Greece cannot claw its way out of a 190pc of GDP debt load. The official haircut is coming sooner or later, and it will be an explosive political moment."

.

---


Pope Francis: end world hunger through 'Prayer and Action'


Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for July 2015
Universal:
That political responsibility may be lived at all levels as a high form of charity.
Evangelization: That, amid social inequalities, Latin American Christians may bear witness to love for the poor and contribute to a more fraternal society.



Comments


More Europe

MARRIAGE EQUALITY: Marriage is God's creation - Church cannot change that Watch

Image of A push for

By Kevin J. Jones, CNA/EWTN News

Dissenting Catholic groups have called for gay marriage to be recognized as a sacrament, but Catholic theology has a clear priority: marriage is God's creation - and not even the Church can change that. Washington D.C.  (CNA/EWTN News) - Dr. John Grabowski, ... continue reading


NO MORE SISTERS: Lack of new, younger nuns forces sisters to leave elder care home Watch

Image of Sister Joseph, the Mother Provincial for the order said the decision to leave had been a

By Catholic Online (NEWS CONSORTIUM)

The Little Sisters of the Poor have attended to needs of the elderly at the Wellburn Care Home in Dundee for more than 150 years. A lack of younger nuns has now forced the remaining seven sisters, all in their seventies, to continue their work elsewhere. The ... continue reading


Vatican withdraws support of 'questionable' anti-human trafficking initiative Watch

Image of It has been noticed in recent days that the Global Freedom Network's representative from the Holy See, Archbishop Marcelo Sanchez Sorondo, had left the group's executive board.

By CNA/EWTN News

Faithful to its commitment against human trafficking, the Holy See has left the board of an initiative it helped to found, as questions have been raised around both its effectiveness and its chair's possible use of the Pope to raise funds. Vatican City ... continue reading


Romans not enthusiastic over Pope Francis' declaration of a Jubilee Year in Rome Watch

Image of

By Talia Ramos (NEWS CONSORTIUM)

A Jubilee Year was officially declared by Pope Francis in Rome, as it expected for millions of pilgrims to gather around the city to observe the celebration. However, Romans are less enthusiastic and more worried, as Rome is in crisis following the discovery of ... continue reading


French locals not happy about King Salman of Saudi Arabia's three-week Riviera vacation Watch

Image of King Salman visits the Riviera Beach in France together with 1,000 of his entourage.

By Linky C. (NEWS CONSORTIUM)

The King of Saudi Arabia, King Salman was scheduled to arrive in France Friday for a holiday trip at the Riviera Beach. The King was expected to arrive together with 1,000 of his entourage. MUNTINLUPA CITY, PHILIPPINES (Catholic Online) - King Salman's visit was ... continue reading


Islamic State may use store-bought drones to launch terror attacks at British sporting events Watch

Image of ISIS could easily get its hands on cheap drones, with more than 127,000 being bought and sold on online auction site eBay in the last year alone.

By Catholic Online (NEWS CONSORTIUM)

Drones, unmanned aerial devices that can now be commercially purchased by civilians, may be used by Islamist State for terrorist attacks at British sporting events. The sick terror group would use the devices to drop explosives on to playing fields, and use the ... continue reading


New financial rules reveal Vatican had a billion euros off the books Watch

Image of The statements were prepared by the Prefecture for the Economic Affairs of the Holy See, the Vatican's budget management office.

By Catholic Online (NEWS CONSORTIUM)

The Holy See reports €1 billion in net assets never before reported, and in a consolidated form. This was part of the revelations that came under new reporting procedures more in line with international accounting standards. LOS ANGELES, CA (Catholic Online) - ... continue reading


Romans lose hope for city, fear mayor is too weak to conquer political scandals Watch

Image of

By Hannah Marfil (NEWS CONSORTIUM)

Arrests of powerful political figures in Rome continuously add up. After discoveries of corruption and mafia linkages, Romans feel more burdened over their falling apart home. Although the current mayor proved to be free from any criminal accusations linked to ... continue reading


Horrific female genital mutilation becomes shocking factor in many areas of England Watch

Image of Despite there being a lot of cases against FGM in England, there have been no prosecutions.

By Nikky Andres (NEWS CONSORTIUM)

Due to mass immigration, female genital mutilation (FGM) has made its way to the United Kingdom. Female genital mutilation is the practice of cutting off a girl's clitoris and labia before stitching up the vulva. According to recent reports, this damaging practice is ... continue reading


Quran manuscript, at 1,500 years old, may be the oldest one discovered to date Watch

Image of The leaves of parchment date back to A.D. 568 and A.D. 645.

By Catholic Online (NEWS CONSORTIUM)

After initiating radiocarbon dating, measuring the age of the parchments organic materials, researchers are confident they have found the oldest surviving copies of the Quran. University of Birmingham scholars in the United Kingdom say the parchment was produced within ... continue reading


All Europe News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Daily Readings

Reading 1, Numbers 12:1-13
1 Miriam, and Aaron too, criticised Moses over the ... Read More

Psalm, Psalms 51:3-4, 5-6, 6-7, 12-13
3 For I am well aware of my offences, my sin is ... Read More

Gospel, Matthew 14:22-36
22 And at once he made the disciples get into the ... Read More

Saint of the Day

Saint of the Day for August 4th, 2015 Image

St. John Vianney
August 4: St. John Vianney, Priest (Patron of priests) Feast day - August ... Read More

Inform, Inspire & Ignite Logo

Find Catholic Online on Facebook and get updates right in your live feed.

Become a fan of Catholic Online on Facebook


Follow Catholic Online on Twitter and get News and Product updates.

Follow us on Twitter