Big strides are being made in the Greek bail out package, with some estimates they will have the funds by end of the week! Germany has agreed in principle and the IMF has joined the party in contributing about a third of the funds. Is it a done deal?
There is still someway to go though - euro states need to approve the deal & Greece need to accept the deal - whilst the prime minister has agreed he has his work cut out selling it to his voters!!! It seems the Greek people (esp civil servants) are not going to take the austerity measures lying down & are promising a political tsunami!!
So where does this leave the bailout? Experts are divided...the next few days will be very interesting.....
Further, with the other PIIGS struggling with their own finances, how much are they being asked to contribute to help out Greece? I have seen figures of 4 billion for Portugal's share!! And Ireland....they are taking their medicine and cutting back and now have to bail out people who are not prepared to do the same...seems like difficult sell...
Greece has been living beyond its means for a long time, they now have to accept a lower standard of living to pay back the years of excess (rest of world take note).
Iceland, Dubai, Greece...next Portugal, Spain, UK? Is Greece the Bear Sterns or is it the Lehmans of the sovereign debt crisis? This bail out was affordable - is Portugal or Spain too big to bail out?
I hope we don't find out, but i fear we may in the next few weeks & months.
