FINANCIAL TIMES: …Instead of Greece’s debt peaking at 167 per cent of economic output next year, as predicted in the March bailout agreement, it will hit 189 per cent and climb to 192 per cent in 2014, according to projections presented to the Greek parliament. …
The new projections all but dash hopes that Greek debt will come down to 120 per cent of GDP by 2020 – once held out as the standard for a manageable debt load – and senior EU officials acknowledged they may have to give Athens more leeway to hit that target under a revised rescue currently being negotiated.
The scale of the faltering has yet again put Germany and other eurozone creditors in a political quandary, forced to come up with as much as €30bn in new funding to meet Greece’s needs for an overhauled bailout though 2016, despite strong resistance at home to any new aid… (more)
