Greek Prime Minister To Meet Angela Merkel To Work On Debt

The European Central Bank (ECB) head Mario Draghi has said the ECB is ready to restore support for Greece’s banks if talks between the Greek government and its creditors get back on track.

Mr. Draghi told EU parliamentarians that the parties should “restore the policy dialogue” so talks could yield “a credible prospect” for a deal on more emergency aid.

“Greece and its creditors in the 19-country eurozone have sparred over the conditions Greece needs to fulfil to get more help to avoid defaulting on its debts,” states

Once a deal is in sight, the ECB could restore the ability for Greek banks to tap ECB credit using Greek government bonds as collateral, according to Draghi.

Greek prime minister Alexis Tsipras will meet with with German chancellor Angela Merkel to try to break the deadlock.

Mr. Draghi rejected a comment from one politician that the ECB was “blackmailing” Greece into yielding to creditor conditions.

He noted that the ECB held €104bn of credit exposure to Greece.  “What kind of blackmail is this?” he asked, before calling the statement “a bit rich.”

Greek PM Easily Wins Parliamentary Backing To Take On Brussels Over Bailout

According to sources, Germany and Greece are heading into an emergency meeting with official creditors today, setting the stage for a clash over Greek debt and Greece’s monetary union with the Eurozone.

The repercussions of a Greek exit and Eurozone break-up could be catastrophic for both the European and global economies.

German Finance Minister Wolfgang Schaeuble rejected Greece’s call for a new debt accord, while Greece’s new Prime Minister Alexis Tsipras remained defiant, saying there is “no way back” for his government, and that he can’t condemn his people to more pain.

“We will not get a clean close to this crisis today,” Michael O’Sullivan, chief investment officer for the U.K. and Europe, the Middle East and Africa at Credit Suisse Private Banking in London, said in an interview on Bloomberg Television. “I think this will drag on. The Greeks have digested a record amount of austerity, so they’ll want some relief from that.”

Any agreement would require an easing of Germany’s stance over conditions attached to Greece’s 240 billion-euro ($272 billion) bailout. A non-settlement risks leaving Greece without funding as of the end of this month, when its current bailout expires, and it may put Europe’s most-indebted state’s euro membership in danger.


Could Greece Exit The Euro?

According to Euronews, German Chancellor Angela Merkel believes the eurozone could cope with a potential Greek exit.

Her government considers a Greek exit almost unavoidable if the left-wing Syriza opposition party, which wants to cancel austerity measures and a chunk of Greek debt, wins an election set for January 25.

Euronews video.

Kyle Kulinski On The Rise Of Neo-Fascism In Europe

Kyle Kulinski discusses an article by Alter Net that discusses the rise of Neo-Fascism in Europe.
A Secular Talk video.

Video from 2013.