News / Economy

Eurozone Ministers Delay Greece Bailout Installment Until October

Germany Finance Minister Wolfgang Schauble (L) talks to Eurogroup President Jean-Claude Juncker after posing with other European Union finance ministers for a photo during a meeting of the Economic and Financial Affairs Council in Wroclaw, Poland, Septemb
Germany Finance Minister Wolfgang Schauble (L) talks to Eurogroup President Jean-Claude Juncker after posing with other European Union finance ministers for a photo during a meeting of the Economic and Financial Affairs Council in Wroclaw, Poland, Septemb

Eurozone finance ministers delayed Friday a decision on paying out the next batch of emergency loans to Greece, pending a review of the nation's finances. Greece had been scheduled to receive an $11-billion installment from the first bailout at the end of September. The debt-heavy country has said it will run out of cash next month unless it receives the money. But the delay appears to have eased some concerns about a possible default by Greece, for now.

With the government's debt equal to about 150 percent of its gross domestic output, Greece could have serious problems making payments on its loans next month.

But European Union officials at a meeting in Poland said whether Greece receives the second portion of a $152-billion bailout package depends on its commitment to keep spending in check.

E.U. Economic Affairs Commissioner Ollie Rehn said, "Technically we have all the chances of taking a decision in the first part of October so as to disburse before mid-October for Greece, but really on the condition that Greece meets all the fiscal and other conditions. And now the ball is in the Greek court."

Worries that Greece might default on its loan payments have driven much of the recent turbulence in financial markets. But coordinated action Friday by European central banks to keep money flowing into the banking sector helped ease some of those concerns. That, and a new commitment from Europe's largest economy to secure the future of the euro, at all costs.

German chancellor Angela Merkel said, "Everything which needs to be done to keep the euro stable, needs to be done. Everything that goes against this aim must be avoided."

U.S. Treasury Secretary Timothy Geithner attended the meeting in Poland. He urged European leaders to act quickly - and warned that political wrangling over the debt crisis could make matters worse.

Bank analyst Mark Matthews said increasing pressure from the United States reflects the growing threat from a larger European crisis.    

"So the implicit threat, I think, from the U.S. and the IMF is that 'if you guys don't sort your act out, you're taking down the whole world by not doing so' and they're basically threatening not to fund the bailout package," said Matthews.

Despite the lack of fresh action by European ministers, broader market shares in Asia and the U.S. rose on hopes that policy makers will be able to reach agreement on a bold plan to deal with the region's debt problem - before it's too late.

You May Like

Multimedia Ferguson Grand Jury Reaches Decision

Missouri town, many Americans on edge over whether jurors will indict white police officer in August shooting death of unarmed black teen More

Corruption Fighters Want More From World’s Strongest Nations

Anti-corruption activists say final communique fell short of expectations and failed to fully address systemic problems More

Philippines Leery of Development on Reef Reclamation in S. China Sea

Chinese land reclamation projects in area have been ongoing for years, but new satellite imagery reportedly shows China’s massive construction project More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Ukraine Marks Anniversary of Deadly 1930s Faminei
X
Daniel Schearf
November 23, 2014 4:32 PM
During a commemoration for millions who died of starvation in Ukraine in the early 1930s, President Petro Poroshenko lashed out at Soviet-era totalitarianism for causing the deaths and accused today’s Russian-backed rebels in the east of using similar tactics. VOA’s Daniel Shearf reports from Kyiv.
Video

Video Ukraine Marks Anniversary of Deadly 1930s Famine

During a commemoration for millions who died of starvation in Ukraine in the early 1930s, President Petro Poroshenko lashed out at Soviet-era totalitarianism for causing the deaths and accused today’s Russian-backed rebels in the east of using similar tactics. VOA’s Daniel Shearf reports from Kyiv.
Video

Video Hong Kong Protests at a Crossroads

New public opinion polls in Hong Kong indicate declining support for pro-democracy demonstrations after weeks of street protests. VOA’s Bill Ide in Guangzhou and Pros Laput in Hong Kong spoke with protesters and observers about whether demonstrators have been too aggressive in pushing for change.
Video

Video Law Enforcement, Activists in Ferguson Agree to Keep Peace

Authorities in Ferguson, Missouri, say they have agreed with protest leaders to maintain peace when a grand jury reaches its decision on whether to indict a white police officer in the shooting death of a black teenager. Ferguson, a suburb of St. Louis, has been the scene of intermittent violence since the August 9 shooting intensified long-simmering antagonism between the police and the African-American community. VOA's Zlatica Hoke reports.
Video

Video US Immigration Relief Imminent for Mixed-Status Families

Tens of thousands of undocumented immigrants in the Washington, D.C., area may benefit from a controversial presidential order announced this week. It's not a path to citizenship, as some activists hoped. But it will allow more immigrants who arrived as children or who have citizen children, to avoid deportation and work legally. VOA's Victoria Macchi talks with one young man who benefited from an earlier presidential order, and whose parents may now benefit after years of living in fear.
Video

Video New Skateboard Defies Gravity

A futuristic dream only a couple of decades ago, the hoverboard – a skateboard that floats above the ground - has finally been made possible. While still not ready for mass production, it promises to become a cool mode of transport... at least over some surfaces. VOA’s George Putic reports.
Video

Video Falling Gas Prices Impact US Oil Extraction

With the price of oil now less than $80 a barrel, motorists throughout the United States are benefiting from gas prices below $3 a gallon. But as VOA’s Kane Farabaugh reports, the decreasing price of petroleum has a downside for the hydraulic fracturing industry in the United States.
Video

Video Tensions Build on Korean Peninsula Amid Military Drills

It has been another tense week on the Korean peninsula as Pyongyang threatened to again test nuclear weapons while the U.S. and South Korean forces held joint military exercises in a show of force. VOA’s Brian Padden reports from the Kunsan Air Base in South Korea.
Video

Video Mama Sarah Obama Honored at UN Women’s Entrepreneurship Day

President Barack Obama's step-grandmother is in the United States to raise money to build a $12 million school and hospital center in Kogelo, Kenya, the birthplace of the president's father, Barack Obama, Sr. She was honored for her decades of work to aid poor Kenyans at a Women's Entrepreneurship Day at the United Nations.
Video

Video Gay Evangelicals Argue That Bible Does Not Condemn Homosexuality

More than 30 U.S. states now recognize same-sex marriages, and an increasing number of mainline American churches are blessing them. But evangelical church members- which account for around 30 percent of the U.S. adult population - believe the Bible unequivocally condemns homosexuality. VOA's Jerome Socolovsky reports that gay, lesbian, bisexual and transgender evangelicals are coming out. Backed by a prominent evangelical scholar, they argue that the traditional reading of the bible is wrong.
Video

Video Ebola Economic Toll Stirs W. Africa Food Security Concerns

The World Bank said Wednesday that it expects the economic impact of the Ebola outbreak on the sub-Saharan economy to cost somewhere betweenf $3 billion to $4 billion - well below a previously-outlined worst-case scenario of $32 billion. Some economists, however, paint a gloomier picture - warning that the disruption to regional markets and trading is considerable. Henry Ridgwell reports from London.
Video

Video Chaos, Abuse Defy Solution in Libya

The political and security crisis in Libya is deepening, with competing governments and, according to Amnesty International, widespread human rights violations committed with impunity. VOA’s Al Pessin reports from London.
Video

Video US Hosts Record 866,000 Foreign Students

Close to 900,000 international students are studying at American universities and colleges, more than ever before. About half of them come from Asia, mostly China. The United States hosts more foreign students than any other country in the world, and its foreign student population is steadily growing. Zlatica Hoke reports.

All About America

AppleAndroid

World Currencies

EUR
USD
0.8050
JPY
USD
117.90
GBP
USD
0.6376
CAD
USD
1.1259
INR
USD
61.655

Rates may not be current.