Spring is here, summer is close. Time for Grexit. The websites of all Greek media report of a Goldman Sachs analysis that bears the title “Come Back of Grexit”. A scenario that we have missed in the last 10 months.
The Goldman Sachs analysis warns “that the Grexit scenario has return” as tensions between Greece, the IMF and Germany have revived thus delaying the program Review and underlines that as the July 20th approaches, when Greece is obliged to pay €2.2bln to the European Central Bank. “An amount that will not be available in the state cash registers if no bailout tranche is given to Greece.”
The ratings agency notes that the IMF continues to urge for great debt relief, while challenging again the participation in the new aid program for Greece and delays the completion of the Review. However, a significant reduction of the Greek debt is politically unacceptable to Germany and several other eurozone countries.
“Although Greece is no longer systemic risk for the euro area and such a discussion does not constitute news for investors, however it is important that we take into account that political tensions are likely to peak in the coming months,” GS notes stressing that “as the negotiations are extended and the negative reports rise, investors may be temporarily move away from the European currency in the second quarter of the year.” (capital.gr, FinancialBox, )
via newmoney.gr
PS To tell you the truth I was not able to find neither the original report of Goldman Sachs nor the original source link. However, my cat made this analysis too, on Monday night, after she put the IMF’s Debt Relief position as they were published by WikiLeaks next to Merkel-Lagarde statements. My cat does not have an Economics PhD and is jobless.
