Global Business
Greece: Eurozone Extends Another “Lifeline”
Eurozone finance ministers sealed a deal Tuesday morning for a second bailout for Greece, including €130 billion ($173 billion) in new financing. The finance ministers from the 17 nations that use the euro, known as the Eurogroup, gave Greece the funding it needs to avoid a potential default next month. While this new deal provides some short-term relief for Greece, difficult days lie ahead as the government tries to trim debt to 121% of the country’s gross domestic product by 2020. Greece’s debt now stands at about 160% of GDP.
The Costs of Europe’s Financial Crisis: Keep Going Up
“The challenge Europe faces is within the capacity of the Europeans to manage, and the administration has been clear with our international partners that we are not seeking additional funding for the IMF,” Brainard said in prepared remarks. “IMF resources cannot substitute for a strong and credible European . . . response.”
Now Italy, Spain and Portugal Get “Moody’s” Knife
Moody’s Investors Service cut the debt ratings of six European countries including Italy, Spain and Portugal and revised its outlook on the U.K.’s and France’s top Aaa ratings to “negative,” citing Europe’s debt crisis.
Economic Protest Turns Violent in Greece
Greece’s Parliament approved far-reaching spending cuts early Monday in a bid to secure a bailout and stave off bankruptcy, as buildings burned in Athens, set ablaze by furious protesters who fear that European demands to reshape their economy will further exacerbate a crippling recession.
Syria: A Problem for Everyone
Violence in Syria continued Wednesday as military forces and militias supporting President Bashar al-Assad continued their offensive against anti-regime protesters. Heavy shelling was seen for the fifth consecutive day in the western city of Homs, where civilians have said that indiscriminate shelling and roving government gunmen have claimed hundreds of lives.
Greece: Finally a “Deal”
But in a sign of the sheer size of Greece’s challenges, European officials said the measures were not enough to send over the $173 billion bailout, and they insisted more steps be taken even as Greeks say they are reaching their pain limit.
Italian Debt: For Once, A Serious Plan
Italian Prime Minister Mario Monti has slashed pensions, begun a broad economic restructuring and agreed to a European treaty that tightens fiscal controls — all in the name of proving his country is serious about controlling debt.
Greece: Unions Take A “Hardline” and Strike
Greek party leaders face crunch talks on Tuesday to secure a new international bailout and avoid a chaotic debt default, caught between EU demands that they accept painful reforms now and a national strike against more austerity.
Egypt:A Right Revolution, Now Every Move — Wrong,
The development added pressure to an already strained relationship between Egypt’s ruling generals and the Obama administration. The targets of the investigation include well-connected American groups, among them one led in Cairo by Sam LaHood, son of U.S. Transportation Secretary Ray LaHood. Sam LaHood reportedly was among those facing charges.
Greece:A Looming Deadline — Now Here
Eurozone ministers had hoped to meet on Monday to finalise the bailout, Greece’s second, but that meeting has now been cancelled. The money must be in place by mid-March if Athens is to avoid a debt default.
Israel and Iran: Almost at the “Point of No Return”
Although accepting the gravity of the Iranian threat, U.S. officials fear being blindsided by an Israeli strike that could have widespread economic and security implications and might only delay, not end, Iran’s nuclear pursuits.
Greece: Pushing the European Union Back, But With Very Little Leverage
For Greeks who have watched their taxes skyrocket, their wages plunge and their prospects flatline, news of the latest austerity demands from European leaders came like the punch line to a bad joke.
Europeans Leaders: Finally on the Same Page
European leaders adopted a groundbreaking new treaty Monday that binds them to imposing caps on deficits and government debts to combat the painful financial crisis that has sabotaged prosperity across the continent and left it slipping toward recession.
Merkel on Greece: Running out of Time
Angela Merkel, the German chancellor, said efforts by the international community to stabilise the situation in Greece had not worked.
Cain and Abel: A Modern Day Take with “Technology”
Mr. Alghanim discovered the person who had allegedly commissioned the hackers was his own brother, with whom he is fighting over how to divide up billions of dollars of joint assets. Mr. Alghanim’s lawyers allege in court filings that the brother hired investigators to illegally access his email with the help of Chinese hackers. Cost to hire the hackers: about $400.
Silicon Valley: Brimming with “Indian” Talent
In Silicon Valley, the percentage of immigrant-founded startups had increased to 52.4%. Silicon Valley’s entrepreneurship ecosystem included people from almost every nation in the world—from Australia to Zimbabwe.
Mexican Elections: Drug Wars Threaten “Everything”
Political analysts say that the drug lords could corrupt the presidential race even without having to meddle directly in those campaigns and that their attempts to boost local candidates or suppress votes could contaminate the process at every level.
France: First Fixing the Euro, Now Hurting It
France’s loss of its AAA-rating deals a heavy blow to the eurozone’s ability to fight off its debt crisis. The country is the second-largest contributor to the currency union’s bailout fund.
Google and China: Let’s Try This Again
Google Inc., which pulled its Web-search engine out of mainland China two years ago after a confrontation with Chinese authorities over censorship, has renewed its push to expand there, in an acknowledgment that it can’t afford to miss out on the world’s biggest Internet market.
Greece: Now “Austerity” Might Be the Problem
Deeply indebted and nearly bankrupt, this Mediterranean nation was forced to adopt tough austerity measures to slash its deficit and secure an international bailout. But as Greece’s economy slides into free fall, critics are scanning the devastated landscape here and asking a probing question: Does austerity really work?
