German Press: Merkel has Decided to Save Greece



welt708_0German Chancellor Angela Merkel is determined to save Greece despite difficulties in negotiations between the country and its creditors, Die Welt says.

According to the German newspaper, the Greek issue will pass through Merkel’s hands, even though her Finance Minister, Wolfgang Schaeuble, maintains a hard stance against Greece. The German chancellor also has to convince her party to vote for another financial aid program for Greece.

At the same time, the European Central Bank must throw Greece a lifebelt in order to avoid the dreadful Grexit scenario.

The report says negotiations are moving at a slow pace, but cooperation is better. However, the slow pace is working against Greece as the country is facing a serious liquidity problem.

Other than the financial side of the issue, there is also the political aspect of negotiations. If Greece and lenders manage to come to an agreement, the agreement must be presented in a way that will show that both sides have benefited from it. “The new deal must have a form that will be accepted by the skeptical German parliament and others,” the report says.

Along with the Germans, Dutch and Finnish parliaments oppose further financial aid to Greece. The deal must also be presented in a way that will satisfy the conservative SYRIZA side at least.

Even if it comes with a delay, Greeks must be certain that further financial aid will be disbursed, the newspaper says. In order to get the new bailout program, Greece must implement more reforms than its government wants but less than the creditors want.

The reasoning behind Merkel’s decision is that she doesn’t want to risk a Grexit. Europe is afraid that Greece’s exit from the euro zone would be a symbol of the vulnerability of the common currency, and that would be the beginning of the end for the euro.

Thereby, Greece’s salvation does not lie in the hands of Europe’s finance ministers or Yanis Varoufakis, but in the hands of the German chancellor and the ECB.


12 COMMENTS

  1. Te beginning of the end of the euro is if there is no Grexit.
    Because that would mean that agreements could be broken, as they are now and if you dont economize you get easy money anyway, Thats the bginning of the end.

  2. Would you complain if someone bougth your products? So whats your point anyway? Is it Germany to blame that Greek bought bmws and mercedeses?
    What has that to do with “love” ?

  3. Greece’s problem is they were run by 2 families for 50 years
    We finally have a government that is doing something for the people of Greece

  4. The alternative is what GD no thanks you may think a leadership run by overweight men doing Nazi salutes and hitting women is suitable alternative but you are in the minority

  5. I mean German exports will suffer with a stronger Euro. Those periphery countries help Germany more than you think.

  6. A stronger euro is better for import, it works both sides.
    A weak euro is not ok for pensioners since they save 30 years for their pension, nor for ppl. with savings, and thanks to bankgangster mr. Draghi in the Netherlands we must pay more tax then we get interest from our savings is that correct you think?
    One of the idea’s of the eu is a free tradezone, as Germany and some other mostly northern countries produce more then the southern countries they mostly benefit from that, thats correct.
    On the other side if you cant pay, dont buy.
    I would never take a loan for a mercedes if i couldn’t pay it you?

  7. If you want to integrate your country into the global economy, international politics and so on, you have to take a lot of people’s interests into account. Being shortsighted and selfish leads you to North Korean-style isolation.
    In order to pay salaries, pensions, benefits and so on to the Greek people, the Greek government needs German money. So if the Greek government had any reason and concern for its people they would NOT ago against the interests of people they depend on. It’s like cutting the branch you are sitting on, because you think you need firewood.

  8. “You’re standing at the edge of a cliff, chained by the ankle to
    someone else. You’ll be released, and one of you will get a large prize,
    as soon as the other gives in. How do you persuade the other guy to
    give in, when the only method at your disposal – threatening to push him
    off the cliff – would doom you both? Answer: You start dancing, closer
    and closer to the edge. That way, you don’t have to convince him that
    you would do something totally irrational: plunge him and yourself off
    the cliff. You just have to convince him that you are prepared to take a
    higher risk than he is of accidentally falling off the cliff. If you
    can do that, you win.” (Thomas Schelling)

  9. “You’re standing at the edge of a cliff, chained by the ankle to
    someone else. You’ll be released, and one of you will get a large prize,
    as soon as the other gives in. How do you persuade the other guy to
    give in, when the only method at your disposal – threatening to push him
    off the cliff – would doom you both? Answer: You start dancing, closer
    and closer to the edge. That way, you don’t have to convince him that
    you would do something totally irrational: plunge him and yourself off
    the cliff. You just have to convince him that you are prepared to take a
    higher risk than he is of accidentally falling off the cliff. If you
    can do that, you win.” (Thomas Schelling)

  10. The euro is only suitable for the Northern countries, because they have more or less the same structure, cultural background and thoughts about economy.
    I dont say that their meaning is the truth in this but thats the gap between for example Greece and Germany, you cant unite them in one currency because behind that currency is a philosophy and their ways of living are too different.
    Would it be a disaster if there was a Grexit? I dont think so, going on like this is a lot more implausible to the rest of the world.

  11. The point here is not because they are Greek that they live in another world. Its because they are idiotic Marxists.

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