Economy
In reply to the discussion: STOCK MARKET WATCH - Friday, 6 January 2012 [View all]Ghost Dog
(16,881 posts)Last edited Fri Jan 6, 2012, 07:56 AM - Edit history (1)
VIENNA (dpa-AFX) - European Central Bank Governing Council member Athanasios Orphanides urged European leaders to reverse the policy of haircut on Greek debt in order to restore investor confidence.
'Reversing the Greek PSI -Private sector involvement- decision would help to restore trust,' Orphanides, who also heads the central bank of Cyprus, wrote in the Financial Times.
Abandoning the Greek PSI decision would also raise the financing cost on the Greek government, but by restoring trust in the Eurozone it would reduce the financing cost of other Eurozone governments, he opined. 'Reversing the Greek PSI would benefit the Eurozone as a whole.'...
... Europe failed to regain investor trust despite reversing the Deauville PSI innovation, as the December summit did not reverse the haircut on Greek debt. Rather, the Eurozone leaders supported continuing the Greek PSI while stating that the Greek case was unique and would not be repeated, he said.
/... http://www.finanznachrichten.de/nachrichten-2012-01/22367527-ecb-s-orphanides-urges-europe-to-reverse-greek-debt-haircut-plan-020.htm
In other words, make 'those stupid people who actually pay their taxes' pay instead. Screw yet more austerity out of them, and ramp up the police state while we're at it. Sound like a psychopath to you? Certainly quacks like a duck.
Reuters Breakingviews video: http://www.reuters.com/video/2012/01/06/greece-needs-bonfire-of-the-bondholders?videoId=228048377&videoChannel=5