Euro, dissolve?

First Greece, then Ireland, and now? The eurozone is in a bit of a mess, and the way out is unclear. European leaders who met for a crisis summit mid-December felt the pressure to create a permanent debt mechanism for 2013, when the temporary European Financial Stability Facility (EFSF) will run out. This sounds rather productive [...]

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Is Ireland next?

Is Ireland next? Ireland’s costs of borrowing rose sharply yesterday, as 10-year government bond yields jumped to highs of 8.64%. Meanwhile, President of the European Comission Jose Manuel Barroso announced that the community would step in with support if the green isle needed it. Reportedly, Brian Cowen government has refrained from asking the EU for [...]

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The sick man at the Balkan

Greece is in a pickle. That’s a fact. The Hellenic republic dug itself into sovereign debt of over £250 billion. Therewith, Greece’s budget deficit adds up to 12.7% of its GDP – more than four times higher than eurozone rules allow. The situation is critical. This spring, Greece has to refinance a big chunk of [...]

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Ireland has voted

Since the 21 century, the European Union found itself in a gridlock. First, the Constitutional Treaty was rejected by the French and Dutch populations. Then even the ‘rescue-option’ the Lisbon Treaty failed – although it did not have to be approved by the majority of countries (including previously ‘No’-voting France and Netherlands). Still, the Treaty, [...]

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