Greek leader slams critics
FRICTIONS between Greek and other Eurozone politicians escalated yesterday, after it emerged that Greece’s second bailout package could be postponed and replaced by a temporary injection of rescue funds.
Greece could receive emergency funds purely to cover the €14.5bn redemption payments (plus coupons) due on 20 March, possibly via a debt swap deal with private sector holders.
And growing criticism of Greece provoked a hostile reaction from President Karolos Papoulias.
“I cannot accept Mr Schaeuble insulting my country,” the Greek head of state said, lashing out at Germany’s finance minister. “Who is Mr Schaeuble to insult Greece? Who are the Dutch? Who are the Finnish?”
Wolfgang Schaeuble and other Eurozone finance ministers are sceptical over whether or not Greece will stick to pledged cuts: “When you look at the internal political discussions in Greece and the opinion polls, then you have to ask who will really guarantee after the elections that Greece continues to stand by what we are now agreeing with Greece,” Schaeuble asked.
After a teleconference last night Greece’s finance minister said €325m in new cuts had “been finalised”, yet a German official said that “questions remain” over the deal.