Friday, July 26, 2013

Total eurozone debt as a proportion of annual gross domestic product (GDP) stood at a record €8.75 trillion (£7.5 trillion) in the three months to the end of March, or 92.2pc of GDP, up from €8.6 trillion in the previous quarter and €8.34 trillion the year before.
Bailed-out nations Greece, Portugal and Ireland saw some of the biggest rises, even after implementing austerity measures imposed by Brussels in an attempt to balance the books.
Greece's debt rose to 160.5pc of GDP from 156.9pc in the first quarter compared with the final three months of 2012, while Portugal's debt burden rose to 127.2pc from 123.8pc. Germany and Estonia were the only countries to reduce their public debt.
Meanwhile, Portuguese prime minister Pedro Passos Coelho ruled out a snap election and confirmed he would make junior coalition party leader Paulo Portas his deputy, sending the country's benchmark borrowing costs down 0.5 percentage points, to 6.31pc. Total eurozone debt as a proportion of annual gross domestic product (GDP) stood at a record €8.75 trillion (£7.5 trillion) in the three months to the end of March, or 92.2pc of GDP, up from €8.6 trillion in the previous quarter and €8.34 trillion the year before.
Bailed-out nations Greece, Portugal and Ireland saw some of the biggest rises, even after implementing austerity measures imposed by Brussels in an attempt to balance the books.
Greece's debt rose to 160.5pc of GDP from 156.9pc in the first quarter compared with the final three months of 2012, while Portugal's debt burden rose to 127.2pc from 123.8pc. Germany and Estonia were the only countries to reduce their public debt.
Meanwhile, Portuguese prime minister Pedro Passos Coelho ruled out a snap election and confirmed he would make junior coalition party leader Paulo Portas his deputy, sending the country's benchmark borrowing costs down 0.5 percentage points, to 6.31pc.

6 comments:

Anonymous said...

First Europe complains about QE, calling it "monetary dumping". Now Europe says that tapering QE is "procyclical". Is there any monetary policy that the Fed could pursue that would make Europe happy? Only an ignoramus would believe that the eurozone depression is being caused by a foreign central bank.

Anonymous said...

I just wonder how many European unemployed, soon to be unemployed or under employed believe the bullshit propoganda Brussells and the ECB pump out everyday.
I also wonder how long Draghi will be sat on top of his new billion Euro building in Frankfurt with its shiny new printing presses before the whole lot comes crashing down.
Come to think about it WEIMAR is just up the road!

Anonymous said...

I just wonder how many European unemployed, soon to be unemployed or under employed believe the bullshit propoganda Brussells and the ECB pump out everyday.
I also wonder how long Draghi will be sat on top of his new billion Euro building in Frankfurt with its shiny new printing presses before the whole lot comes crashing down.
Come to think about it WEIMAR is just up the road!

Anonymous said...

Um....

Ulimited Central Bank action so the only people who are wrong are people who question that bonds will will create jobs in the economy. Where and why has the guardian sold out?

http://www.unionofunemployed.com/blog/homepage/real-unemployment-rate-june-2013/

June’s Real Unemployment Rate of 14.3% increases to 16%.

Keep cooking the books for your corporate pay masters

Anonymous said...

Why are the planet's fortunes in the hands of a v small mafia of limitless-greed speculators who control the Forex and decide which currency is to be at what level with only their personal or corporate profit-greeditis in mind ? Why do our 'leaders' allow for this mad(off)-ness to continue unchecked? At least on this score President Hollande was right - to question the very existence of a casino-type 'market' such as FX with incredible power to interfere and manipulate the planet's well-being.

Anonymous said...

I think, if we're looking at "legality" on the bailout, it's best to be clear that depositors are, by their nature, a group of creditors of the bank. Yes, their money is their property. And they decided to lend that money to the bank. At a high rate of return.

This isn't the way banking is often seen. They're seen as a safe store of oney. But it's the reason that Bank Runs have always been an existential danger. Because they aren't.

The state, of course, guarantees bank deposits up to €100,000. But that's not much use, if the state doesn't have the capacity to carry the debt, that would be incurred by fulfilling the guarantee, that hardly helps.

Sarris' account is however good, on just how isolated Cyprus was. Not even Luxembourg, Malta, Ireland supported them - all three with "oversized banking sectors".