zerohedge.com / by Tyler Durden on 08/09/2015 13:58
On Saturday, Frankfurter Allgemeine Sonntagszeitung reported that Greece’s creditors – the “quadriga” as it were – had agreed on the terms to be imposed on Athens in return for an ESM rescue package worth some €86 billion. The 27-page draft MOU is “substantial and far reaching,” and includes cuts to defense spending and subsidies for farmers, Bloomberg says, summarizing the FAZ report.
Greece desperately needs to close the deal next week. If the new program isn’t formally in place by August 20, a €3.2 billion payment to the ECB won’t be possible – a default to the central bank would likely be catastrophic, as Greece’s banking sector would collapse entirely in the absence of the ELA liquidity drip.
Once Greek officials agree to the conditions, the draft will be circulated to EMU member countries for approval and Alexis Tsipras will need to go once more to parliament where he hopes the Syriza rebellion which imperiled the first two votes on bailout prior actions will have died down in the wake of a dramaticparty meeting late last month in which the Greek Premier insisted that for the time being, “opposing voices must stop.
The post “We Should Admit This Isn’t Going To Work”: One Country’s Grim Assessment Of Greece’s Future appeared first on Silver For The People.
