Sign in. It’s quick, free and it’s up to you.
An account is an optional way to support the work we do. Find out more.
FOLLOWING MARATHON TALKS in Brussels, the eurozone’s finance ministers and the International Monetary Fund agreed to release the next tranche of bailout loans to struggling Greece.
Along with the €43.7 billion, which will be unlocked next month, the rescue package also includes a recognition that debt relief will be required for years to come.
The agreement was reached as the Troika believes Greece has now implemented all agreed prior actions and reforms.
The Eurogroup (the eurozone’s finance ministers) said it particularly welcomes the country’s 2013 budget and its “ambitious” medium term fiscal strategy to 2016.
The money will be released in four batches, the first €34.4 billion after 13 December and the remainder in the first three months of 2013.
The group said:
As was stated by the Eurogroup on 21 February 2012, we are committed to providing adequate support to Greece during the life of the programme and beyond until it has regained market access, provided that Greece fully complies with the requirements and objectives of the adjustment programme.
The deal includes an arrangement to cut debts by about 20 per cent to allow it to level at 124 per cent of GDP by 2020. Europe’s leaders hope the move will put Greece’s economy back onto a sustainable path.
Mario Draghi, President of the European Central Bank, said markets’ confidence will strengthen on the back of the deal as it reduces uncertainty.
Starved of bailout financing since the summer, Greek Prime Minister Antonis Samaras hailed the deal in Athens, while German Finance Minister Wolfgang Schaeuble said the package would be presented to German lawmakers by the end of the week.
Ireland’s Michael Noonan has already said that any deal reached with Greece would not be applicable to Ireland, which has its own negotiations. “This is a special and particular case,” he said. “There isn’t a crossover into Ireland’s affairs.”
-Additional reporting by AFP
To embed this post, copy the code below on your site
Greece to recieve a 40 billion write off,lower interest rate extended out from 15 to 30 years.All this for failing to achieve targets.Ireland our government delighted to report all targets being met what consession do we get?SFA thats what.
“Ireland’s a special case” I’m sick of hearing this same old crap. We’re being played for fools here. By rolling over and paying back bond holders, all we are doing is convincing the rest of Europe that austerity policies can work.
@Jim Greece has been required to meet objectives since the start of their programme,they’ve thrown a few hissy fits and seem to be getting a damn sight more respect than we are.
we are not being taken for fools we are being sold out by Kenny and his mob,they will not push for a better deal for the country because part of that deal would see their wages and pensions cut dramatically
Thats almost €150 billion they have had on cuts and debt forgiveness. Kenny and Gilmore should be ashamed , “labours way or Frankfort’s way” “not another single cent will be paid”
2 spoofers laughing at us at how docile we all are.
Irish should renege on the promissory note! We should just do it in protest against the unfairness we are suffering for being the poster boy of Europe. Enough is enough! Why should we pay extortionate interest rates on the promissory note for Anglo whilst Greece gets help to reduce their obscene deficit.
Greece 2 – Ireland 0 come on u boys (certainly not men leading our country) in green get us that deal now…
“Ireland’s Michael Noonan has already said that any deal reached with Greece would not be applicable to Ireland, which has its own negotiations. “This is a special and particular case,” he said. “There isn’t a crossover into Ireland’s affairs”
God help us, a golden opportunity wasted once again. Does he not care about Ireland?
The question is will Greece deliver? All it has done so far is pass legislation. For example, in the past when local government or senior civil servants didn’t agree with certain reforms, they didn’t happen. When implementation begins and the various interest groups, such as civil servants, pharmacists, judges, lawyers and trade unions begin their opposition, then we will see how serious the government are about reforming the Greek economy and society.
They just hung Greece out to dry forever!! The first country to be financially taken over….who’s next?
They are paying Greece’s daily bills. I think people fail to see this when they talk of countries being taken over. The money loaned is to fund the state’s wage bill, pensions, hospitals, police, etc.
where would they be without this money?
I was going to comment but whats the point, we always lie down and take our medicine!
That’s how I feel too….. And probably many more.
i know its degrading at this point..but i think its close to blowing.and when it does…
This will have the same result as blowing your nose with sandpaper.
I’m surprised that people, including the media have been so tolerant of Kenny and Noonan. They told us back in June that a deal of historic proportions had been thrashed out regarding Spain, and that this would have a direct impact on Ireland’s bank debt. Kenny said that he was sure that its all be sorted before October. How can we continue to put up with those two incompetent liars? There’s far too much at stake here.
@Declan – Totally agree we should protest, we don’t want a pat on the head and be told how obedient we have been.
There was a FG merkel lapdog on Vincent Browne last month and he said proudly “There is no point in protesting as we have almost paid it all back”
That lot just dont get it, could you imagine what we could have don
e with our health system and infrastructure with all that money?
I bet Greece will give the troika the 2 fingers even after the these write downs.
Our politicians always use terms like that, so do our german overlords. “Ireland is a special case” blah blah blah.
So where is our write down?
This story of a deal being thrashed out will drag on and on, by the time it ends we will unfortunately have paid all those unsecured billions back. Good little obedient leaders we have fighting our corner, sure its great craic and everything will be grand.
“So where is our write down?”
With all the write downs for people who pay their mortgage and other debt payments on time.
I hate that “special case” line. Reminds me of documentary I saw on child abuse. The peado had groomed the child by telling her how she was a ” special girl” and went on to abuse her. At least she has the knowledge now that she was a child and couldn’t have known better and is absolutely not to blame. Kenny and crew are supposed to be shrewd politicians and adults. And have lots of blame to carry.
Guys im afraid there will be no writedown for Ireland….we will have to pay the lot back…what kenny says and what mercel has been saying for the last 6 months have been completely different…kenny speaks of debt
reduction/ writedown while mercel has used the same words “debt sustainability” constantly….a world of difference
Thank God that’s sorted out for the next couple of months.
“…..an arrangement to cut debts by about 20 per cent to allow it to level at 124 per cent of GDP by 2020.”
This is pure fantasy. This assumes GDP growth of 4.5% over a sustained period of time. This is third kicking of can down the road. Besides, reading this there is so far only an acknowledgement that this is required. How and where 20% will be cut will prove as difficult to achieve as the last debt restructuring.
*PHEW* Thank god for that!! I thought this whole Eurozone thing was going to roll on for ages and… oh wait…..
have your say