bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Sunday 22.01.2017 | Name days: Austris

Rimsevics: Eurozone may benefit from Greece’s exclusion

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RUAccording to Governor of the Bank of Latvia Ilmars Rimsevics, the Greek people have basically voted themselves out of Eurozone, which could benefit from this in the long run, as reported by lsm.lv.

In his interview to Latvijas Radio and LTV, Rimsevics mentioned that he believes Greece’s exclusion from Eurozone is the most likely scenario. He explained that «the current situation requires someone to open up their wallet, but no one is prepared to put 30-50 billion euros on the table».

Rimsevics did mention the possibility that one or multiple countries may take the initiative and gather the aforementioned sum of money. But as long as there is no money and no progress in talks, exclusion from Eurozone remains the most likely scenario.

Even though European leaders use every opportunity to convince Greece to change its position in talks, there is no possibility of writing off debts.

Rimsevics adds that Eurozone could benefit in the long run if Greece exits the monetary union. In addition, Latvia has no reason for concern.

The head of the Bank of Latvia also mentioned the decision of the European Central Bank to maintain support for Greece at its current level but request three times larger pledge amount as a form of guarantee. «With that, the previously pledged bonds are not considered safe enough to back EUR 89 billion,» – said Rimsevics. «This means that a moment will come when Greece will have to think on its own about dealing with this situation,» – added Rimsevics.

BNN had previously reported that the Greek Finance Minister resigned from his post earlier this week. Prior to his resignation, Greek voters supported his proposal to decline conditions set by international creditors.

Ref: 102.109.109.3526


Leave a reply

  1. Ilmars says:

    And what happens when Spain, Portugal, Malta, Cyprus, Italy follow Greece out of the eurozone. The anti-eurozone National Front is the second party in France and Briitain will be having a referendum on this issue shortly.
    The eurozone has brought misery and poverty to too many of its citizens. Even worse, much of this has been self inflicted by the incompetence of the ECB itself. After the global financial crisis, why did they throttle the eurozone economy with anti-inflationary austerity policies when expansionary policies were needed.
    The ECB is a useless bunch of incompetent stumblebums who will single handidly destroy the eurozone itself.
    The problem with bankers like Rimsevics is that they know the price of everything, and the value of nothing.

    Thumb up 0 Thumb down 0

    • jj says:

      Greece will not leave the eurozone – the vast majority of Greeks (including the government) want to stay in the eurozone, and they will.

      They voted on Sunday against austerity, which is understandable. However the cause of the austerity was not the ECB but the incompetence and corruption of Greek politicians which has existed since long before they joined the EU. Had the Greek politicians kept to the promises they made years ago (such as, for example, the privatisation of the port at Piraeus) the pain would have been much more bearable.

      The other countries you have mentioned have all suffered austerity due to the financial crisis of a few years back and are now growing again – none of them have any popular desire to leave the eurozone.

      (Britain is not having a referendum on the eurozone – they have never been in the eurozone!)

      Thumb up 0 Thumb down 0

  2. Ilmars says:

    Rimsevics comments were just part of a PR campaign to soften up public opinion for “grexit”. Decisions have already been made to throw greece out. No proposals from greece would have been good enough. Indeed, i saw a report that the EU is preparing humanitarian aid of food and water for greece.
    Hovever, there are going to be political repercussions around europe of how the greeks have been treated. This is just round one. The anti-eu genie is about to come out of the bottle.
    Regarding Britain – obviously Britain is not a member of the euro, but their referendum is about something bigger than a currency. It is about membership of the EU itself. Given the electoral victory of the euro sceptic Conservatives over the pro EU Labor Party, as well as opinion polls, Britain will likely exit the EU entirely.
    “we live in interesting times”

    Thumb up 0 Thumb down 0

  3. Linda says:

    Am sure the Eurozone will exist for many years to come …. unfortunately. The UK prefers to keep the pound but the referendum is about EU membership if Tories can’t renegotiate some of the terms of membership. UK does need to stay in the EU if only to keep German & French command in check.

    Thumb up 0 Thumb down 0

People no longer believe in their own country, because they associate it with people who make decisions

The biggest threat to Latvia is the fact that society, including state officials, is afraid. People are afraid of change, afraid of voicing their thoughts (thoughts that often do not comply with the politically correct stance), afraid of being misunderstood. Fear makes it harder to develop. It limits people’s internal freedom. Such is the opinion Inga Antane, president of Baltic Association – Transport and Logistics and sworn attorney of Triniti law firm, explained in her interview to Atbalsts.

Expert: «Lithuania’s renewed National Security Strategy is a «hodgepodge»

This week, the Lithuanian Parliament has overwhelmingly approved a renewed National Security Strategy, laying out 14 major hazards and risk factors to national security.

Industry: advertisements contribute the entire economy of the European Union

Every euro invested in advertisement has seven times the influence on a country’s GDP. Every one euro brings seven euros in return to the country’s GDP, as emphasized by Latvian Advertising Association, noting that advertisement sector contributes to employment in all of the European Union.

Six deputies applied with administrative penalties in Saeima’s autumn session

According to information provided to the parliament, six deputies were applied with administrative penalties during Saeima’s autumn session.

Slower economic growth for Estonia forecast – at 2.2% - for 2017

The economic growth of Estonia in 2017 will be slower than previously expected, Swedbank economists have announced lowering their previous economic forecast for the Baltic country by 0.2% to 2.2%.

Latvian and Lithuanian authorities dismantle two criminal groups

Latvian State Revenue Service’s Finance Police has successfully apprehended two organized crime groups that caused significant damage to the state budget in 2015 and 2016 by realizing different VAT fraud schemes.

Estonia to drop special pensions, push forward sweeping pension reforms

The Estonian government has decided to drop special pensions and to push forward with plans regarding other significant changes in the pension system, including tying the retirement age to the average life expectancy.

KNAB performs inspection about Jakrins’ approval in the board of Rīgas satiksme

Corruption Prevention and Combating Bureau intends to inspect if the approval of acting head of Riga City Council’s Transport Department Emils Jakrins in the management board of Rīgas satiksme had any signs of breach of good management principles.

Chinese GDP up 6.7% in 2016

World’s second largest economy has seen a 6.7% growth in 2016, Chinese official data show, which indicate that the gross-domestic-product increase has been slower than the 6.9% seen in 2015 and the slowest since 1990.

Dozens buried in Italy’s avalanche-stricken hotel

Italy has been shaken by a number of earthquakes this week, one of which has triggered an avalanche burying a mountain hotel, where at least two people have been found dead and dozens more a searched for through rubble and snow.

Weekends to experience frost and thaw; drivers urged to be careful

Weather in Latvia will not be stable in the next couple of days – cloudy weather with some precipitation will be mixed with periods of clear sky, according to State Environmental, Geology and Meteorology Centre.

Logistics Industry Council assesses results of 16+1 summit

Experts say container cargoes have the potential to bring major contribution to the logistics sector. With that, LDz Logistics intends to continue organizing the next container train from China, as well as cooperate with partners from Belarus and China in the context of the Great Stone industrial park, as BNN was informed by Transport Ministry’s representative Ilze Greiskalna.

Parliament supports amendments to avoid expensive land-measuring actions

It will no longer be necessary to prepare land border plan for entry of land units in the Land Book. It will help save budget funds, as it will not be necessary to perform land-measuring actions, as reported by Saeima press-service.

CP supervisors concerned about Latvijas Gāze’s contract terms

The Competition Council is concerned about Latvijas Gāze’s behaviour in the process of liberalization of the country’s gas market. Economy Ministry has submitted a draft of the Gas Trade and Use Rules to the Cabinet of Ministers Committee for review.

Germany seeks clarity from Trump’s government, to boost military spending

Berlin has emphasised plans to increase defence spending after facing criticism from upcoming U.S. President Donald Trump on NATO countries not meeting their spending commitments.

Saeima re-elects Elita Krumina as State Auditor

On Thursday, 19 January, the Saeima re-elected Elita Krumina in the post of State Auditor.

Saeima supports formation of aircraft passenger data registry to combat terrorism

On Thursday, 19 January, Latvia’s Saeima approved the Aircraft Passenger Data Processing Law in the final reading. This will form the passenger data registry.

Milk retail price in Estonia reaches 55 cents per litre after to price hikes

After a long period of low milk purchase prices in Estonia, milk retail prices in the Baltic country have increased twice, reaching the point where famers receive just enough to cover milk production costs.

Ventspils Freeport carries Lembergs around with luxurious car worth EUR 156,000

In spite of a 16.44% turnover decline, Ventspils Freeport bought a lux-class Audi A8L W12 for EUR 156,000 last year. It’s only known passenger so far has been the formally suspended chairman of Ventspils City Council Aivars Lembergs, as reported by Latvijas Avīze.

Estonia concludes bilateral defence framework deal with Finland

Estonia and Finland have signed a bilateral defence cooperation framework agreement aiming for closer and more regular cooperation in the field by the neighbouring countries.

Biden: Wealthiest 1% does not pay enough in taxes

The «top 1% is not carrying their weight», outgoing U.S. vice-president, Joe Biden evaluated at the World Economic Forum, insisting the world's wealthiest that they do not pay enough in taxes.

Latvia and Japan sign convention on attraction of foreign investments

In Tokyo, Latvian Finance Minister Dana Reizniece-Ozola and Japanese Foreign Ministry’s Parliamentary Vice-Minister Motome Takisawa signed a convention between the two countries on double taxation prevention for income tax.

FM: problems with real estate tax cannot be resolved with tax rate corridor

Real estate tax benefits for housing area could be applied for each person declared living in each respective house. Each benefit can be applied to the building and land, Finance Ministry’s representative Aleksis Jarockis reported on conclusions made by the work group responsible for amendments.

Turkey’s New Year’s terrorist admits choosing nightclub randomly

The main suspect of the attack in Istanbul, which left 39 people dead during New Year’s celebrations, had selected randomly the place of attack.

WhatsApp to be provided with bank-contacting functionality

Continuing the digitization process and studying customer habits more intently, it is planned to allow customers resolve matters related to finances using WhatsApp, DNB Bank reports.

When do you pay fines for speeding?

View Results

Loading ... Loading ...

Polls Archive



Category feed: Feed: