Hellenic crisis as a trigger for economic stability in Europe - What is there behind EUR 86 billion of support to Greece?

(Photo: Aleksandar Parezanović)

Reform of the pension system, liberalization of business, privatization of electric distribution, labor market reform and decrease in scope of non-payable loans are only some of the terms which the Government from Athens, after long and difficult negotiations which lasted 17 hours, accepted in Brussels.

Analysts estimate that accepting extensive reports do not mean the end of the drama with Greece and that the Greeks need to make serious cuts now.

As immediately after negotiations the English Guardian informed, according to that, labor market in Greece should be reformed in line with the international and European practice and to exclude all measures from the past which are not aligned with the objectives of sustainable economic growth.

Let us remind that yesterday, leaders of 19 countries of Euro zone after the marathon summit in Brussels, agreed on new package of support for Greece and stay of the country in mutual currency system.

Greece was thus approved a new package of support of some EUR 86 billion under strict terms which include measures of strict savings in public sector which Greek parliament must adopt.

Greek needs higher debt write off than considered

(Photo: Irina Milošević)

However, Greece will need a lot higher debt write-off, than the ones that Euro zone partners are ready to consider for demolishing of its economy and banks over the past two weeks, the results of the study of the International Monetary Fund which Reuters had a chance to see showed.

A total of EUR 25 billion for capital increase of Greek banks

Capital increase of Greek banks with a few billion euros will support in protection of money savers deposits, Greek minister of economy, Georg Statakis, said after published agreement.

Money savers in Serbia safe?

All of this does not influence greatly "Greek banks operating in Serbia”, some of the leading bankers claim for our portal.

Possible "financial disease"

All countries of the Balkans are still vulnerable and crisis in Greece could endanger their progress, it was estimated by the VP of German Marshal fund, Ivan Vejvoda.