Greece appealed on Friday for tens of billions of euros in unprecedented help from the EU and IMF to end its debt crisis, but Germany said that aid would only come if the euro was threatened.
Greek Prime Minister George Papandreou told Greeks in a televised speech that the aid was a “national need” after the previous conservative government had left the country a “sinking ship.”
Greek Finance Minister George Papaconstantinou said he expected no problem in getting the aid and that it should be available in “a few days.”
However, German Chancellor Angela Merkel, whose government has been reluctant to help Greece, declared that the rescue package would be activated only if the stability of the euro were threatened and Athens implemented tough policies.
Merkel spoke after the EU said it did not see any “obstacles” and would give “rapid” treatment to the request to activate a three-year debt rescue worth up to about 45 billion euros (US$60 billion) in the first year at concessionary interest rates of about 5 percent.
IMF head Dominique Strauss-Kahn said the fund would “move expeditiously.”
The Greek debt drama has mushroomed into the biggest crisis in the euro’s 11-year history, sparking concerns that it could spread to other weak members of the single currency area battling runaway deficits and debt.
IMF involvement would also be a first — the fund has helped out other EU members such as Hungary, but the eurozone is supposed to be policed and its rules enforced by the European Central Bank and member states.
Critics have suggested that such an IMF role now undermines the credibility of the eurozone, which faces a make-or-break choice over who actually runs its affairs given perceived differences between Paris and Berlin.
European Commission chief Jose Manuel Barroso said the Greek appeal for aid was “good for Greece and it’s good for the stability of the eurozone.”
Athens’ dramatic appeal removed a big slice of damaging uncertainty in financial markets, but the initial positive impact was muted in turn by concerns, stoked by Merkel’s comments, over how the rescue will be implemented.
“There are still doubts about implementation of the plan while markets will still be concerned about the long-term sustainability of Greece’s public finances,” said Diego Iscaro of the IHS Global Insight consultancy.
“Moreover, the economic situation still remains worrying,” Iscaro said, noting that the Greek economy would shrink 2.6 percent this year after 2 percent last year.
Taiwan’s Lee Chia-hao (李佳豪) on Sunday won a silver medal at the All England Open Badminton Championships in Birmingham, England, a career best. Lee, 25, took silver in the final of the men’s singles against world No. 1 Shi Yuqi (石宇奇) of China, who won 21-17, 21-19 in a tough match that lasted 51 minutes. After the match, the Taiwanese player, who ranks No. 22 in the world, said it felt unreal to be challenging an opponent of Shi’s caliber. “I had to be in peak form, and constantly switch my rhythm and tactics in order to score points effectively,” he said. Lee got
‘CROWN JEWEL’: Washington ‘can delay and deter’ Chinese President Xi Jinping’s plans for Taiwan, but it is ‘a very delicate situation there,’ the secretary of state said US President Donald Trump is opposed to any change to Taiwan’s “status quo” by force or extortion and would maintain that policy, US Secretary of State Marco Rubio told the Hugh Hewitt Show host on Wednesday. The US’ policy is to maintain Taiwan’s “status quo” and to oppose any changes in the situation by force or extortion, Rubio said. Hewitt asked Rubio about the significance of Trump earlier this month speaking with Taiwan Semiconductor Manufacturing Co (台積電) chairman C.C. Wei (魏哲家) at the White House, a meeting that Hewitt described as a “big deal.” Asked whether the meeting was an indication of the
‘RELATIVELY STRONG LANGUAGE’: An expert said the state department has not softened its language on China and was ‘probably a little more Taiwan supportive’ China’s latest drills near Taiwan on Monday were “brazen and irresponsible threats,” a US Department of State spokesperson said on Tuesday, while reiterating Washington’s decades-long support of Taipei. “China cannot credibly claim to be a ‘force for stability in a turbulent world’ while issuing brazen and irresponsible threats toward Taiwan,” the unnamed spokesperson said in an e-mailed response to media queries. Washington’s enduring commitment to Taiwan will continue as it has for 45 years and the US “will continue to support Taiwan in the face of China’s military, economic, informational and diplomatic pressure campaign,” the e-mail said. “Alongside our international partners, we firmly
KAOHSIUNG CEREMONY: The contract chipmaker is planning to build 5 fabs in the southern city to gradually expand its 2-nanometer chip capacity Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, yesterday confirmed that it plans to hold a ceremony on March 31 to unveil a capacity expansion plan for its most advanced 2-nanometer chips in Kaohsiung, demonstrating its commitment to further investment at home. The ceremony is to be hosted by TSMC cochief operating officer Y.P. Chyn (秦永沛). It did not disclose whether Premier Cho Jung-tai (卓榮泰) and high-ranking government officials would attend the ceremony. More details are to be released next week, it said. The chipmaker’s latest move came after its announcement earlier this month of an additional US$100 billion
RSS