GREECE: ‘ Tsipras rejects Samaras proposal to join Government ‘

#AceFinanceReport – Featured Update:June.06: Greek Prime Minister Alexis Tsipras rejected opposition leader Antonis Samaras’ proposal to join the government and adopt a common stance on stalled debt repayment talks, Greek Deputy Defense Minister told Sputnik on Saturday.

' Greece Against them All '
‘ Greece Against them All ‘

“Mr. Samaras informed Mr. Tsipras through his speech that he would not accept any type of common front with Mr. Tsipras, unless Nea Demokratia became part of the government,” Costas Isychos said.

Tsipras addressed the Greek parliament on Friday after the latest failed attempt to reach an agreement on a bailout package with European lenders.

Samaras, former prime minister who lost this year’s election to Tsipras’ left-wing Syriza, lambasted Tsipras for lack of achievements in negotiations and called on him to “join the national consensus” offered by New Democracy.

“Mr. Tsipras did not agree on this,” the defense official told Sputnik.

Isychos added that European Commission President Jean-Claude Juncker’s plan was largely rejected by “most of the leaders of the opposition.”

“But at the same time [they] were in disagreement with Mr. Tsipras’ proposal to the institutions,” he told Sputnik.

Greece skipped a scheduled $330-million repayment to the International Monetary Fund (IMF) on Friday, offering instead to make a single payment by the end of June.

Under Athens’ current bailout deal with IMF, expiring at the end of the month, Greece is expected to repay a total of $1.8 billion.

Ace Related News:

Tsipras Timeline of Debt Management

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#AceGuestNews BERLIN German Chancellor Angela Merkel said on…

#AceGuestNews – BERLIN – German Chancellor Angela Merkel said on Monday that Europe had shown great unity on the Ukraine crisis but it had not been an easy decision to impose sanctions on Russia for a referendum in occupied Crimea and its refusal to talk to the government in Kiev.

“It was a decision that nobody took lightly,” she told a joint news conference with Italian Prime Minister Matteo Renzi.

(Reporting by Stephen Brown and Alexandra Hudson; Editing by Noah Barkin)

#ANS2014

“It wasn’t our aim. We wanted talks and a diplomatic solution but the clear violation of international law yesterday with the so-called referendum meant we had to take this step and I am glad that Europe showed such unity,” Merkel said.

#angela-merkel, #crimea, #europe, #german-chancellor, #italian-prime-minister-matteo-renzi, #kiev, #russia, #ukraine

` Angela Merkel said she did not expect ` Russia ‘ to restrict ` Gas Supplies ‘ despite the crisis in Ukraine ‘

#AceFinanceNews – BERLIN, German Chancellor Angela Merkel said she did not expect Russia to restrict gas supplies despite the crisis in Ukraine.

“We have signed agreements. Until now, Russia has supplied gas,” the German chancellor said in an interview with Passauer Neue Presse.

“Even in the times of the Cold War, Russia was a reliable supplier,” she said, adding that “Russia has its own economic interests.”

“We receive 35% of gas from Russia, and this does not make us dependent,” Merkel said.

#AFN2014

#angela-merkel, #berlin, #german-chancellor, #russia, #ukraine

EUropean Economic Community – Prelude To The EU

Euro Disaster  Peace, When It Loses The War.’ and details of the massive amounts of cash moved out of Germany during the war to safeguard the future of German domination against the economic collapse of losing the Second World War against EUropean Union. AND connections with organisations like The Bilderberger’s, Council for Foreign relations, Tri Lateral Commission and other arms of the New World Order.

Around the end of 1939, most of Europe was either consciously or unconsciously under the influence of the economic concept of England. Over recent years, however, it has been swept out of European countries, politically, militarily and economically. Politically the three-power pact has given honour once again to the ancient figures of life, people and room. It has also established a natural order and a neighbourly way of co-existing as the ideal of the new order. The foundation of English economics, which is the basis of the balance of powers, has been militarily destroyed. And economically, a change has come about after the political and military development, the shape of which is easy to describe, but whose final significance is very difficult to evaluate. I can only repeat, that the changing order that is happening now has to be ranked as one of the greatest economic revolutions in history. It signifies a reversion of the economy of Europe to a time before the English concept of building an overseas Europe, i.e. an awareness of one’s own country.

The Discussion so far and its Results

Discussions about questions relating to Europe started as the power of the NSADP grew. At the Congress of Europe in Rome from 14th to 20th November 1932, Alfred Rosenberg developed, for the first time in front of an international forum, thoughts and ideas that have moved us since. No one, who fights for a new economic order in Europe, can ignore these perceptions and conclusions. The economic and political wheel was set in motion, when the NSDAP declared the militarization of the German economy. It is to the credit of the journal ‘Germany’s Economy’ that it first seized these questions in 1932, kept on bringing them up and stuck doggedly to those original perceptions. The idea of German economic self- sufficiency in the new political sense and the German economic militarization are synonymous with this journal. Besides this, Daitz, the ambassador, has earned the special credit of being the first to have related German economic history to the present time. Part II of his selected speeches and essays, which appeared in 1938 under the title ‘Germany and the European Economy’, summarizes his concepts formed between 1932 and 1938. The Italian, Carlo Scarfoglio, delivered with his book ‘England and the Continental Mainland’, a decisive historical contribution to the consciousness of the European continent. Meanwhile German and Italian economic policy drew the political consequences from the historical lessons that were learnt during the blockade and learnt again during the sanctions. The speech made in Munich in 1939 by the leader of the Reich’s farmers, R. Walther Darre, at the 6th Great Lecture at the Commission of Economic Policy of the NSDAP, takes a special place in the discussion at that time. Its theme was “The market order of the National-Socialist agricultural policy – setting the pace for a new foreign trade order.”

While our leader maintained the hope of reaching a peaceful agreement with England, the route for European economic unity remained problematic. The end of 1939 was a decisive point and it was natural that the years 1940-1941 heralded the new economic and political order. The writer, in particular, developed and extended in speech and writing the intellectual fund of the new economic policy, which has been translated into most languages, so that today everywhere the great constructive texts are known. These contexts revolve around the following issues:

  1. Theory about the Reich and the European economy.

  1. The historic, cultural, and economic significance of the German economic order.

  1. The foundations of the future economic relationships between the states.

  1. The nature of the European economic community.

On 25th June 1940 the Reich’s Economic Minister, Funk, publicised in his official capacity his thoughts, which underlined the development so far and thus gave them state sanction. In October, the journal ‘German Economy’ summarised for the first time the principles of European co-operation, the fundamental principles of German foreign trade, Germany’s export economy and ways and means of promoting export. It did so in a popular review “About A New Europe”, providing an overview of the important problem of European economic fusion. Around the end of 1940 the Berlin historian Fritz Rorig finally outlined in his book “Hanseatic Essence” the historical foundations of the greatest economic and political achievement by the Germans.

I am clear in my mind that total clarity is to be found in the principle questions: The necessity is recognised for a political order for the economic co-operation of the people. The nature of the new order : awareness of tradition, using up one’s own economic resources, long-term economic agreements and fair relations, is affirmed. The economic inter-dependence is underlined by fate. The economic unity of Europe is thus clear.

Economic Practice:

Even practical economic life has increasingly allowed entry to new thoughts. I am able to see the decisive steps in the start and realisation of the following points:

  1. In the increasing payment traffic through Berlin.

  1. In the exchange of experiences in various areas of economic life. Thereto belong also the statements of ministers and business people, the calls made by special advisers and the collective tackling of important tasks relating to the economy. Even the specialist is surprised, once he has taken the trouble to put together all the connections. Today they are already legion.

  1. In the signing of long-term economic agreements between the Reich and the other European states, which the public is aware of, there can be no doubt that such agreements are those of the future.

Of course, that cannot prevent unclear points and new problems from arising, which become clear at the time when the situation is reviewed.

Problems Related to the Economic Community of Continental Europe

These unclear points primarily relate to the concept of economic direction, the extent of solidarity and neighbourly attitude, the development of one’s own powers, the care to maintain the standard of living and the question of raw material purchase from foreign countries. It is natural that one or another issue will take priority of interest, depending on the set of conditions that prevail. It should be attempted at this point to give a reply, albeit a summary one.

There can be no doubt that the concept of direction of the economy, or rather its leadership, is as novel as it is revolutionary. Its classification is all the more important, as the fate and consequence of European co-operation depend principally on a new consistent form of economic understanding. The Anglo-Saxon view of economics is dead: consequently, even the so-called ‘classical’ national economy is no longer classical, but it has survived. So what it comes down to is that a new understanding arises to do with ideology and terminology, which represents a sound basis for agreement and co-operation. Relating to this, one must point out the following in detail:

  1. Economic direction is not a momentary emergency solution, instead it forms the core of new theory and practice. First of all, it takes the place of individual egotism and the automatic autonomy of the Anglo-Saxon precept.

  1. Economic direction is not identical to the tendencies of a centrally planned economy. It does not seek to cancel the individual or to administer through the state operators.

  1. Economic direction really means the following: the new instruction of the creative and constructive power of the individual in relation to the whole system; the creation of a consistent economic view and an attitude towards the economy; the selection of important tasks through political leadership and the state’s final decision on all questions about economic power. Beyond this, the economy is free and responsible to itself.

The degree of solidarity of the individual economies and their neighbourly attitude is characterised by three guidelines:

Firstly, it is limited in regard to its own economic development by the recognition that the utilisation of individual resources represents not only a requirement of the new economic precept, but is the very foundation for economic activity. The European economic community has no interest in leaving any abilities or possibilities unutilised.

Secondly, it contains the obligation that, because of Europe’s freedom, consideration is given firstly to continental Europe regarding any matter related to economic activity. Not only should the shared fate of the European people be emphasized, but the fact should also be stressed that the supplementation of the European economies beyond their borders is possible and sought after.

Thirdly, it must be maintained that, above all else, the spirit of the individual economies may not be allowed to go against the spirit of neighbourly co-operation.

The question of developing one’s own powers refers to the problem of mono-cultures, of industrialisation of the agrarian south-east and the awakening of new needs.

An answer can easily be given to the first question. Mono-cultures are the result of the same economic precept that made the world market price the determining factor in the economy. According to that precept, people and land are the vestiges of some by-gone age. Europe is well on the way to destroying these mono-cultures with initiatives ranging from land improvements and growing new crops to discovering new local resources. All these have the same aim, which is to develop the economy and broaden its basis. Germany and the whole of Europe can only greet these efforts with gratitude.

The industrialisation of the south-east poses a particular problem regarding these questions. As I am unable to handle this problem – like all other problems – here in a comprehensive and exhaustive manner, because the industrialisation of economies is theoretically a difficult problem, I can only say as follows:

  1. Just as it is in the nature of things that each country will strive to utilise its available resources for its own production, so will there will be a knock-on effect for other economic partners.

  1. If, as is the case in the South-east European countries, there is heavy over-population in the countryside, then there are only three possibilities to solve it: itinerant workers, a permanent emigration and an ‘intensivisation’ of the local economy, a term correctly created by Dr. Ilgner for the problem of industrialisation. Itinerant workers can only form a part solution. Besides, it only applies to agricultural and construction workers and gone on for ages. Permanent emigration from Europe is just as false as impossible. There just remains the intensivisation of the economies of south-east Europe as the way to self-help.

3. The economies should make it possible for an independent life according to the modern economic view. The intensivisation of their economies therefore is right for the time.

4. The old features of industrialisation, which evolved from the price collapses in countries with agriculture and raw materials, have to now belong to the past. Europe is a communal living area. Only through a joint development of economies – and not through independence from one another – can protection against crises be achieved.

5. The tasks that have to be solved in Europe are so big that the powers needed to do so have to be released by an intensivisation of the each economy. This can be easily done by employing the workers that have been liberated in new branches of the economy.

Without affecting the difficult questions of purchasing power, it can be regarded as proven that the joint work to build up Germany’s and the south-eastern states’ in the area of industrialisation lies in the direction of the intensivation of interest of the whole continent.

One important and until now completely overlooked task in this regard exists and that is the awakening of new needs in the south-eastern countries. It is because, in those countries, wealth has grown and will gradually continue to grow, as a result of the reliable purchase of agricultural products and available raw materials at adequate price levels. According to the principle in economics that giving equals taking, peoples’ living habits there will have to change, otherwise one day the process will come to a halt. Germany’s ability to absorb the products from the south-east is practically infinite, whereas creating a demand for German goods there is not only a matter for economic intensivation but also one of modifying the people so they consume more. This task is of such importance that it has to be considered from the very outset, so that the south-eastern European economies are elevated after the war.

Equally important as the industrialisation of south-east Europe is the question of the standard of living in the north. Their economic development and high standard of living, which underpin their lives though all economic conditions, should not be mistaken. This standard of living has grown considerably during the 19th century and around the time of the world war due to free trade, so that various circles view world economic events with particular concern. From a German viewpoint, only the following points can be made:

Firstly, a higher standard of living is also the aim of the German government. The German people not only understand this well, but also through its fight wants to ensure European civilisation and culture. This fight will benefit the whole of Europe, and with it the north.

Secondly, despite being connected successfully to England and its economic system (one should not ignore the countless economic troughs that feature there), the economies of the north whose fate and greatness are very closely linked to Germany.

Thirdly, the northern states’ difficulties are going through a temporary phase of adjustment. In the long-term, this will bring about a lasting advancement, rather than destruction, for their economies’ foundations.

Maintaining a high standard of living is not an insoluble problem. To finish, I now come to the problem of purchasing raw materials from overseas markets. A leading south-east European economist once wrote about this principal question: “Unlike the war, we were in the following situation: in order to import raw materials from overseas countries, we bought goods from west European countries with foreign exchange. In the area of continental Europe there is no gold. Everything had to pass through the system of clearing – goods sold against goods. We have no product that can be sold to North or South America. That means that the leading nations are obliged to acquire and distribute to us the raw materials that we need. The leading nations of Europe can supply, with its capacity, enough products to overseas countries with which to acquire raw materials. The one question is whether exchange will ever happen… Even before the new order is introduced, and without even joining in with the Axis powers, we stand in solidarity outside Europe with its traffic of goods…”

 

 

#acenewsservices, #angela-merkel, #economic, #economic-revolutions, #economy-of-europe, #economy-of-germany, #england, #european-union, #eurozone, #german, #germany, #libya, #middle-east, #new-world-order, #politics

Euro Zone Market News

German Logo of the ECB.

German Logo of the ECB. (Photo credit: Wikipedia)

Fiscal policy

Fiscal policy (Photo credit: Wikipedia)

Market News and Views

The FTSE 100 is called to open higher this morning after the performances on Wall Street and in Asia overnight after supportive comments from German Chancellor Angela Merkel on the European Central Bank‘s plans to help the euro zone debt situation. She also called for swift integration of fiscal policy in Europe adding that time was running short. There is no important UK economic data due out today so attention will focus on the release of the preliminary reading of the University of Michigan Consumer Sentiment Index this afternoon in the US. Commodity prices are mixed in trading and on the foreign exchanges, the major currencies are range bound with the dollar edging slightly higher.

So on the face of it we are going to get this mess finally sorted! Even though this belies one truth that is hidden, any fiscal policy will only work with growth! The sheer fact that for the last 4 years in real terms growth has eluded the world, apart from parts of Asia and especially China! Even though they are starting to feel the draft of their economy starting to chill!

My personal view is that very soon the European Central Bank will have to act to shore things up but this only puts of the fateful day, when a reckoning will be needed! This is closer than we think but further from our minds than we care to admit!

#angela-merkel, #asia, #chancellor-of-germany, #european-central-bank, #fiscal-policy, #ftse-100-index, #university-of-michigan-consumer-sentiment-index, #wall-street

The Euro Will Eventually Go The Way Of The Dodo

English: The government debt of Portugal, Ital...

English: The government debt of Portugal, Italy, Ireland, Greece, United Kingdom, Spain (PIIGGS) against the European Union and Eurozone 2002-2009. Data from Eurostat. (Photo credit: Wikipedia)

European Union

European Union (Photo credit: Wikipedia)

National-Debt-GDP (Photo credit: Wikipedia)

On Thursday this week we were told that the 4th Euro Zone country may need a possible sovereign bailout of 100 billion Euros. The fact this amount as l reported previously has risen from 23 to 43 to 46 and now 100 billion by miscalculation of debt! It now appears that it is imminent in any case. This extract picked up at the time goes someway to explain the need but not the reason WHY?

Extract –

Spain’s troubles are mounting, with indebted regions asking the central government for help and borrowing costs at record highs. There are fears that the euro zone’s fourth-largest economy may need a full sovereign bailout even though the country has just received a €100 billion ($121 billion) rescue package to shore up its ailing banks.

The European Union is responding with plans for the temporary bailout fund, the European Financial Stability Facility (EFSF), to buy Spanish bonds on the secondary market in order to push down interest rates on those bonds, German newspaperSüddeutsche Zeitung is reporting on Thursday.

“If Madrid submits a request we are prepared to act,” an unnamed EU diplomat told the paper. Spanish Finance Minister Luis de Guindos has urged EU colleagues to authorize the EFSF to buy Spanish bonds. He met German Finance Minister Wolfgang Schäuble on Tuesday and French Finance Minister Pierre Moscovici on Wednesday.

The bank bailout for Spain is a prerequisite for the EFSF to buy bonds because EFSF rules state that this kind of financial aid is only permitted if the affected country has an unresolved banking problem, Süddeutsche said. “We hope we can calm the markets now,” it quoted the EU diplomat said as saying.

So how is it these countries have got into this position, as night follows day  Greece began the need for X billions but with no GDP to repay what they owe! So then along comes the fourth largest economy and this time they want a lot more again what can they repay it with! At present they have massive debts and much of this debt is never ever going to be repaid!

Reason –

It is invested in a dwindling asset such as property, which 20 years ago had the same problem, it crashed and many people lost their homes! Another 10 years further on and we are back there this time not 100’s of thousands are owed but billions and in some cases overall debt in the world amounts to http://www.usdebtclock.org/world-debt-clock.html well take a look at how it rises second by second and it will amaze you!

So we got here by wanting more to buy more and then our GDP would rise more but of course so would our debt’s When you lend without any form of financial management you are being what can only be called as cavalier or reckless with your lending policies! By this method we lend billions to a country to bail it out for covering their debts for 3 months and in some cases 1 month. Is this not reckless lending and not considering in 1 month what this country will do, let alone having increased their debt! The best solution our EU leaders can come up with is this extract!

Extract 2

‘The Best Solution’

Berlin has made no official statement on Spain’s request but sources close to the German government said it wasn’t opposed to bond purchases in principle. Such a move would have to be signed off by a German parliamentary panel consisting of nine lawmakers made up of members of all the five parties represented in parliament. Chancellor Angela Merkel‘s center-right coalition has five parliamentarians on the panel.

The French government supports bond purchases. French President Francois Hollande on Wednesday called for rapid and decisive help. 

Words like rapid and decisive help this will be the same rapid and decisive help for Greece that has dragged out month after month after month, anyone remember Greece’s first request it was May 11th 2010 as reported by the WSJ and it stated in this post –

Wall Street Journal – May 11th 2010 –

Greece to Request First Aid Tranche

ATHENS—Greece on Tuesday will formally submit its request for the first tranche of aid from the European Union and on Wednesday will receive the first installment of financial support from the International Monetary Fund.

“We will be submitting the formal request for the transfer of €14.5 billion [$18.54 billion] from the EU.

The figure was 14.5 billion Euros was what they asked for and the upshot was this from an extract in Wikipedia

Extract 3

The downgrading of Greek government debt to junk bond status in April 2010 created alarm in financial markets. On 2 May 2010, the eurozone countries and the IMF agreed on a €110 billion bailout loan for Greece, conditional on the implementation of austerity measures. In October 2011, Eurozone leaders agreed to offer a second €130 billion bailout loan for Greece, conditional not only the implementation of another austerity package, but also that all private creditors should agree to a restructure of the Greek debt, reducing the debt burden from a forecasted 198% of GDP in 2012 to a more sustainable level at 120.5% of GDP by 2020.

The amount was not 14.5 billion but 100 billion in May 2010 and a further amount of 130 billion in October 2011 and the provisions agreed would be reduce debt burden from 198% of GDP in 2012 to a more sustainable level of 120.5% of GDP by 2020.

My simple overriding question is HOW? Can any country reduce their debt burden when they borrow such vast amounts! Would it not have been better to stage manage a small tranche of funds are requested and monitored their economy closely for where the problems were before this commitment to lending such a vast amount!

I can see Spain going the way of Greece and eventually the Euro going the way of the dodo!

Nobody can sustain 120.5% debt burden and repayment is not achievable in any case, given the present global financial situation!

#angela-merkel, #european-financial-stability-facility, #european-union, #german, #greece, #suddeutsche-zeitung, #spain, #wolfgang-schauble