Daily Archives: December 1, 2012

The German parliament approved by a large majority of aid to Greece

German MPs approved Friday by a large majority the measures taken by the euro zone earlier this week to save Greece from bankruptcy.

In total, 473 members of the Bundestag, the lower house of Parliament, voted in favor of this aid, 100 against and 11 abstained.

It is no surprise a majority as the opposition parties-the SPD Social Democrats and the Greens – had announced before the session they would vote along with the coalition government of Chancellor Angela Merkel (CDU, CSU and FDP) .

The approved measures including unlock allow delivery of a tranche of 43,700 million euros to Athens.

“The SPD decided to vote for this help, it does not support the federal government, it does take responsibility for Europe, in the continuity of the positions it has taken so far,” he had said Peer Steinbrück, the SPD candidate leadership of government and Merkel’s chief rival in the general election due in late 2013.

“We are part of those who said early on that a bankruptcy of Greece could create a domino effect with incalculable consequences,” he added.

In his presentation of the content of the aid program, the German Finance Minister, Wolfgang Schäuble, stressed the need for aid to Greece, in the interest of the country, in Europe, and Germany itself.

“No one takes advantage of both the euro area and the Germans, economically and politically,” the minister stressed. “When we invest in the future of Europe, when we work for a strong Europe, we invest in our own future,” he added.

“All the international observers agree that the new Greek government is fully committed to implement the agreed reforms and many advances have been made,” said Schäuble also.

“Without our support, not just the future of Greece is in danger, but also the future of the eurozone as a whole,” he said, adding: “in the end, we decided today to keep or discontinue aid program Greece, ie not paying this section with all the consequences that this can have not only for Greece but also for Europe and beyond. ”

In his speech, the right arm of Merkel insisted instead on the fact that the road was still long and that Greece should continue with their efforts.

On the other hand, closed the door again to a Greek debt relief.

“The current speculation about a debt relief are exactly the wrong signal that we should not send, especially if we continue to support Greece in this difficult road,” he said, adding: “these false speculations do not solve the problem.”

Earlier this week, finance ministers of the 17 ultimately reached agreement with the IMF for Greek debt reduction target set at 124% of GDP by 2020, against an initial target of 120 % advocated by the IMF, is a relaxation of some 40,000 million by 2020.

The euro zone also pledged to reduce below 110% of GDP by 2022 Greek debt, which threatens to reach 190% in 2014 – which will facilitate the return of Greece to markets.

The debt agreement allowed open the way to delivery, as expected for Greece, aid without which the country was doomed to bankruptcy in the very short term.

The ministers decided to deliver a total of 43,700 million euros blocked for weeks. A first installment of a little over 34,000 million should be delivered on December 13. The total delivery will have three frames in the first quarter of 2013.

The current account deficit in Spain fell 45.5% in late September

The current account deficit fell sharply in Spain late in the third quarter to EUR 16,509,000 compared to EUR 30,296,000 for the same period last year, down 45.5%, the Bank announced Friday Spain.

This decline “is mainly due to the improvement of trade and income deficits and to a lesser extent, the increase in the surplus of the services balance,” said the regulator in a statement. The deficit on current transfers increased, he added.

In the first nine months of the year, the accumulated deficit of the trade balance fell by 28.6% to 22.129 million euros, thanks to rising exports (+3.5%) and the fall in imports (+1.6%).

The energy déficiti yet again expanded by 13.6%, the statement said.

The accumulated surplus of the services balance rose by 12.9% to 30.302 million euros, benefiting from up 2.8% of the surplus for travel and tourism, a key sector in Spain.

The deficit in the income balance fell 14% to 16,610 million euros, while the balance of current transfers widened by 18% to 8072.5 million.

Spain, in recession since late 2011, has launched an extensive program of budget cuts.

The country sharply reduced its current account deficit in 2011, to 39.777 million euros, compared to 48.403 million in 2010, which represents a 17.8% contraction.

A year earlier, the deficit had fallen by 18.2%.