True Finns set for government, see EU bailout changes
The True Finns, the anti-euro party voted into a powerful role in the Helsinki parliament at the weekend, expect the European Union to change plans for a bailout of Portugal, its leader said on Monday.
..
"This is a big, big bang in Finnish politics. This is a big, big change. This will change the content of Finnish politics," Jan Sundberg, professor at the University of Helsinki, said.
Finland's parliament, unlike others in the euro zone, has the right to vote on EU requests for bailout funds, meaning it could hold up costly plans to shore up Portugal and bring stability to debt markets.
The strong showing for the populist True Finns reflects growing public frustration in some EU states about footing the bill for weaker economies such as Greece, Ireland and Portugal.
Portugal's bailout threatened by veto from Finland
The next phase of Portugal's bailout negotiations start today, but already face trouble from an unlikely source - a strong election performance from an anti-euro party in Finland, which has pledged to vote against financial aid.
Ireland’s banks downgraded to junk status From Business ETC. Excerpts:
IRELAND’S GOVERNMENT BACKED banks are now officially junk following a downgrading of the long-term deposit ratings of the four surviving banks by the ratings agency Moody’s.
The decision to downgrade Bank of Ireland (BoI), Allied Irish Banks (AIB), EBS Building Society and Irish Life & Permanent (IL&P) follows the move to cut Ireland’s own ratings status to one level above junk status last week.
Debt restructuring on Greece's path
The International Monetary fund's opinion is that a Greek debt restructuring is inescapable at this point and will have to take place by next year. This does not mean private bond holders will receive haircuts, but rather the global financial organization sees rescheduling loan repayments as a form of restructuring.
After a tense week that saw EU officials giving in, for the first time, and admitting that Greece might be forced to restructure its debt, Ireland's sovereign debt downgraded yet again by Moody's and Portugal's bailout put in check, the weekend wasn't better. Restructuring fears grew on reports that top IMf officials were convinced Greece would be unable to service its debt.
The Greek debt to GDP ratio is over 10% and accumulated debt will be 160% of GDP by 2013, coupled with a contracting economy and soaring borrowing costs make escaping restructuring a severely uphill road.
And:
The Greek situation is bound to be a handful for the European Union, one they will not be able to put all their strength into. Finland's right-wing party True Finns became the third political force in the Nordic country after Sunday's elections. The re-shaped parliament in that country has the right to decide on Finland's position in terms of a bailout for another European country. True Finns are set against paying for Portugal and could block the much needed aid.
And the Greeks begin to riot again. As a country, they really do own their anger..
Global Banks Face 'Wall Of Maturing Debt' Awesome. Excerpts:
DEBT-LADEN banks are the biggest threat to global financial stability and they must refinance a $US3.6 trillion ($3.4 trillion) ''wall of maturing debt'' that becomes due in the next two years, the International Monetary Fund says.
With the $3.6 trillion that matures in two years the rollover requirements are most acute for Irish and German banks, the report said.
''These bank funding needs coincide with higher sovereign refinancing requirements, heightening competition for scarce funding resources.''
The True Finns, the anti-euro party voted into a powerful role in the Helsinki parliament at the weekend, expect the European Union to change plans for a bailout of Portugal, its leader said on Monday.
..
"This is a big, big bang in Finnish politics. This is a big, big change. This will change the content of Finnish politics," Jan Sundberg, professor at the University of Helsinki, said.
Finland's parliament, unlike others in the euro zone, has the right to vote on EU requests for bailout funds, meaning it could hold up costly plans to shore up Portugal and bring stability to debt markets.
The strong showing for the populist True Finns reflects growing public frustration in some EU states about footing the bill for weaker economies such as Greece, Ireland and Portugal.
Portugal's bailout threatened by veto from Finland
The next phase of Portugal's bailout negotiations start today, but already face trouble from an unlikely source - a strong election performance from an anti-euro party in Finland, which has pledged to vote against financial aid.
Ireland’s banks downgraded to junk status From Business ETC. Excerpts:
IRELAND’S GOVERNMENT BACKED banks are now officially junk following a downgrading of the long-term deposit ratings of the four surviving banks by the ratings agency Moody’s.
The decision to downgrade Bank of Ireland (BoI), Allied Irish Banks (AIB), EBS Building Society and Irish Life & Permanent (IL&P) follows the move to cut Ireland’s own ratings status to one level above junk status last week.
Debt restructuring on Greece's path
The International Monetary fund's opinion is that a Greek debt restructuring is inescapable at this point and will have to take place by next year. This does not mean private bond holders will receive haircuts, but rather the global financial organization sees rescheduling loan repayments as a form of restructuring.
After a tense week that saw EU officials giving in, for the first time, and admitting that Greece might be forced to restructure its debt, Ireland's sovereign debt downgraded yet again by Moody's and Portugal's bailout put in check, the weekend wasn't better. Restructuring fears grew on reports that top IMf officials were convinced Greece would be unable to service its debt.
The Greek debt to GDP ratio is over 10% and accumulated debt will be 160% of GDP by 2013, coupled with a contracting economy and soaring borrowing costs make escaping restructuring a severely uphill road.
And:
The Greek situation is bound to be a handful for the European Union, one they will not be able to put all their strength into. Finland's right-wing party True Finns became the third political force in the Nordic country after Sunday's elections. The re-shaped parliament in that country has the right to decide on Finland's position in terms of a bailout for another European country. True Finns are set against paying for Portugal and could block the much needed aid.
And the Greeks begin to riot again. As a country, they really do own their anger..
Global Banks Face 'Wall Of Maturing Debt' Awesome. Excerpts:
DEBT-LADEN banks are the biggest threat to global financial stability and they must refinance a $US3.6 trillion ($3.4 trillion) ''wall of maturing debt'' that becomes due in the next two years, the International Monetary Fund says.
With the $3.6 trillion that matures in two years the rollover requirements are most acute for Irish and German banks, the report said.
''These bank funding needs coincide with higher sovereign refinancing requirements, heightening competition for scarce funding resources.''
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