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19 Mar 2015
Greece not helping itself - BBH
FXStreet (Guatemala) - Analysts at Brown Brothers Harriman explained that Technical talks between Greece and its official creditors have been bogged down.
Key Quotes:
"The creditors claim that Greek officials have not been forthcoming.
"We can be sympathetic to Greece's plight. However, Greece is not helping itself. Instead, it continues to shoot itself in the foot. The Greek government thought that the other debtors in the periphery would side with it, and Germany would be isolated. Wrong. The Greek government thought it could offer some vague programs to replace part of the austerity it did not favor and that would renew its funding. Wrong."
"Eurogroup head Dijsselbloem’s suggestion that Greece can resort to capital controls is not very helpful."
"Greece's debt burden must be lightened."
"Greece must restructure its economy."
"If the Greek government showed the same commitment to restructuring the economy as it has shown towards implementing some of its campaign promises, it would likely find its creditors more willing reduce the net present value of the debt (by postponing the start of repayment, lengthening maturities, and reducing rates and surcharges)."
"The Greek government has a weak hand, and it is playing poorly with it."
Key Quotes:
"The creditors claim that Greek officials have not been forthcoming.
"We can be sympathetic to Greece's plight. However, Greece is not helping itself. Instead, it continues to shoot itself in the foot. The Greek government thought that the other debtors in the periphery would side with it, and Germany would be isolated. Wrong. The Greek government thought it could offer some vague programs to replace part of the austerity it did not favor and that would renew its funding. Wrong."
"Eurogroup head Dijsselbloem’s suggestion that Greece can resort to capital controls is not very helpful."
"Greece's debt burden must be lightened."
"Greece must restructure its economy."
"If the Greek government showed the same commitment to restructuring the economy as it has shown towards implementing some of its campaign promises, it would likely find its creditors more willing reduce the net present value of the debt (by postponing the start of repayment, lengthening maturities, and reducing rates and surcharges)."
"The Greek government has a weak hand, and it is playing poorly with it."