|Greece Prepares for Bankruptcy|
|by Tom McGregor||Sun, Jan 29, 2012, 11:10 PM|
Last night, the Greek prime minister warned that his country faces the "specter of bankruptcy and all the dire consequences that entails."According to the Daily Telegraph of London, "Lucas Papademos said that unless the country's international backers agreed to a new bail-out, Greece would be unable to pay off its loans and be forced out of the eurozone."
EU leaders are expected to convene in Brussels tonight amidst rising fears that Greece will fail to implement the austerity measures its global backers have been demanding as a condition of the most recent package of financial support. Greece would be unable to repay $15 billion of loans due in March, without the bailout funds.
As reported by the Telegraph, "amid doubts about Greek willingness to cut spending and raise taxes, Germany has suggested that a European commissioner should take effective control of Greek fiscal policy to ensure the country accepts austerity. Evangelos Venizelos, the Greek finance minister, rejected that plan, saying it would undermine Greece's 'national identity and dignity.'"
Germany's economy minister, Philipp Rosler, contends that some external control over Greek policies must be considered. He said, "if the Greeks fail to do this themselves, the leadership and monitoring must come in a stronger way from outside, for example via the EU."
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