Well it is official the political party leaders in Greece failed to reach on the agreement and the re-election is on the cards. The jeopardy conditions calls for the lenders withdrawing $898 million from greek banks. What will happen if Greek exits Euro ? Who will pay their debt in-case if they exit Euro and the future of Euro lot of dilemma needs to be addressed.
The ripple effect of the above is that the parties who oppose the austerity measures upon which Greece’s bailout is conditional, such as Syriza, will gain support in new elections. This could see the country exit the euro zone, which would mean the scope for contagion across the rest of the ‘periphery’ and throughout Europe’s banking sector would be significant.
Greece exit would place Spanish and Italian debt markets and banking sectors under unprecedented strain. Unfortunately things are falling as I did in my last post on the Back to Europe as It is a huge pile of debt where we tried to indicated how much Greece Owe and who they owe too.
Another important series was from the Critical events that I can recall on the Crisis where the 2009 series of crisis is not ending.
Greece did officially defaulted on its debt to private lenders. It was an “orderly” default, negotiated rather than simply announced. This formal default on about $100 billion triggered payment of $3 billion in credit-default swaps,that was post indicating Credit Default Swaps & Greece Default Event
ISDA offcialy declared the credit default event Greek credit event has occurred, CDS payments triggered : source ISDA
Greece Again “.Default already and get it over with God this is tiring.”
We again did tried to figure out when Greece bailout turning out Greek to me whether it was
1. it’s a default
2. there’s no real agreement
3. there are poison pills
4. there are very high hurdles to jump
5. there are loose ends all over the place
6. all-powerful forces don’t want a deal in the first place
In the month of Feb 2012 was looking out for the Defrost needed for Greece soon as Europe started to go in freezing zone