Thousands of police officers lined the streets of Athens on Thursday as the German finance minister visited the Greek capital. His arrival comes as a controversial bill was passed in the Greek parliament to eliminate thousands of public sector jobs.
The debate between advocates of austerity and supporters of stimulus still rages across Europe. Our experts assess whether backing for German Chancellor Angela Merkel’s economic policies—the “Merkel way”—is starting to wane.
The Government has decided that Lithuania must have the euro by 2015, whatever the cost. Finance Minister Rimantas Šadžius, though, admits that ordinary people are a little suspicious of a currency switch – remember as they do the last monetary reforms in the country that went less than smoothly.
The International Monetary Fund (IMF) on Thursday warned central banks to be alert to the potential financial risks of super-loose monetary policy adopted to cope with the financial crisis.
In China, held the 12th session of the Boao Forum for Asia (BFA).
U.S. Treasury Secretary Jacob Lew is telling Europe it needs to adopt new policies to boost economic growth, but his advice has been met coolly in Germany.
There were messy and embarrassing mistakes along the way. But, in the end, German Chancellor Angela Merkel got what she wanted: an end to the endemic system of money laundering and corruption in Cyprus.
Russia has a few interests at stake in the European Union bailout for Cyprus. The first and most obvious is that Russian citizens stand to lose billions of dollars worth of savings in Cyprus’s banking sector, which serves as a low-tax haven for Russian oligarchs. Those oligarchs, remember, wield outsize political power within Russia. The second is that Cyprus is a political client state of Moscow’s, a helpful little ally on such matters as sending arms to Syria. The third is symbolic, and doesn’t actually have that much to do with Cyprus itself, but with Russia’s standing in Europe.
Who has invented the tax on Cyprus bank accounts, which the Parliament of the island country doesn’t want to approve? The European Central Bank is trying to lay the blame on the President of Cyprus, and he, in his turn, blames the governments of the Eurozone countries. Meanwhile the issue, as well as the accounts in Cyprus banks have hung up for indefinite period, as they have not yet been able to “break” the MPs. Moscow also tries to take part in the resolution of this problem, which was appointed beyond its will as a “title sponsor” of Cyprus stabilization.
Europe's dividing lines in the debt crisis run between the rich North and less well-off South - at first glance, anyway. But closer examination suggests the truth is more complicated.