NEWS ARCHIVE - MAY 2013

May 31, 2013

Greece’s good news goes largely unreported - Financial TImes

"Which has been the best performing stock market index in Europe over the past year? It’s not the mighty Dax, even though that has set all-time highs. Nor is it a market outside the troubled eurozone, such as the UK, Sweden or Switzerland. It’s the Athens Composite, which has almost doubled since May 2012.

Gradual economic and political progress doesn’t make for great television in the way that protests and riots do. But there is a growing optimism in Greece that the worst of the crisis may be passing.

...As well as headcount reductions in the civil service and the liberalisation of regulated professions, tourism and much of the retail sector, the government has also taken steps to assess tax evasion and clarify land ownership. This will take time, but the potential revenue to be gained is substantial: estimates suggest current annual tax revenue losses are in the region of €30bn."

Surge in hate crimes divides Greek coalition - Idaho Statesman

"Greece, in its sixth year of recession - and with the highest number of immigrants entering the European Union illegally - has seen a sharp rise in violence against non-European immigrants, as well as a surge in support for the xenophobic and extreme right Golden Dawn Party.

...The European Union, as well as international Jewish groups, have urged Greece to tackle racism by criminalizing incitement to commit racial violence among other measures.

The New York-based organization Human Rights Watch on Thursday also urged the swift adoption of measures against racial violence.

"With people being attacked on the streets, Greece urgently needs to beef up its criminal justice response to hate crimes," Judith Sunderland of Human Rights Watch said."

May 30, 2013

Greece's young: Dreams on hold as fight for jobs looms - BBC News

"At 64.2%, youth unemployment in Greece is the highest in the continent. Those between the ages of 16 and 25 are now the crisis generation.

At the Spoudi school in Athens, dreams have been put on hold. The school leavers longed for a stable job, for a future full of opportunity. But instead, unemployment and uncertainty beckon.

The economy won't recover because the educated ones will go abroad and only the older people will stay here”

In a final maths class, students pore over complex algebra problems. But how to stay positive in today's Greece might just be the most difficult equation to solve.

"I'm not sure about my future," says Nathalie Scholden, an 18-year-old who hopes to study economics. "I think I won't stay in Greece because there's high unemployment and bad salaries. A lot of kids my age feel the same. If we're here and nobody gets the life they want, why should we stay?"

Recent Statistics [May 2013]

Improved conditions (vs. previous period) are in GREEN Declined conditions in BLACK

*Worst numbers are for youth, with 61.7% unemployment for those in the 15-24 age group.

Older stats

Unemployment stats

May 29, 2013

Bank of Greece Hopes for Growth Next Year - WSJ

"The Bank of Greece forecast around an economic contraction of 4.6% this year, after gross domestic product fell 6.4% last year. This year would be the sixth year of recession. The report made no numeric forecast for economic performance next year.

In a separate report published Wednesday, the Paris-based Organization for Economic Cooperation and Development said it expected the Greek economy to continue contracting in 2014, by 1.2%.

Support for Greece's reform agenda isn't guaranteed. Its coalition government, led by the center-right New Democracy Party, faces numerous challenges to its viability. Politicians have become increasingly vocal about their disagreements, especially over the possible introduction of antiracism legislation. Meanwhile the wider society is hobbled by persistent joblessness.

The central bank said the unemployment rate should stabilize this year. But this would still be at a deeply problematic 28% overall, and even higher among certain segments of the population. The unemployment rate was no likely to begin falling until 2015, the bank said."

May 28, 2013

Island selling - Los Angeles Times

"The debt-laden [Greek] government makes it easier to sell private islands to foreigners and considers leasing out those it owns. Greek citizens bristle at the idea.

...With each private island valued between $1.3 million and $150 million, experts say that transfer fees alone for those sales could bring in desperately needed revenue for the government. But they say the real gains would come from the sale of about 6,000 islands that the state owns and so far has refused to relinquish.

Since the start of the financial crisis, successive governments here have rejected calls by international lenders, mainly Germany, to auction some of them to pay down Greece's toxic debt. Now, the business-minded Samaras is open to leasing them — a prospect that has angered many Greeks.

This month, municipal officials on Evia, the second-largest Greek island, plan to launch an international tender to lease Dream Island just offshore in the coming weeks. They hope to turn the 600-acre outcrop of hibiscus and harvest land, along with its run-down hotel complex, into a paradigm of development."

New Democracy improves in polls - Yahoo

"A survey by GPO pollsters for Mega TV released on Tuesday put support for the New Democracy party at 21.3 percent, 1.8 percent ahead of the leftist Syriza party, which opposes Greece's international bailout.

Two polls published on Sunday by agencies RASS and ALCO showed Prime Minister Antonis Samaras' conservatives leading by as much as 2.8 points, up from about 1 point last month."

Greece coalition split over racism bill - BBC

"Pasok, the second largest of the three parties, wants to introduce an anti-racism law to curtail the activities of the far-right party, Golden Dawn.

But the biggest party, New Democracy, believes existing laws are sufficient.

...Evangelos Venizelos, leader of the socialist Pasok party, appeared to be referring to Golden Dawn when he said: "We have an international obligation... to have all-encompassing legislation against pro-Nazi and violent racist behaviour."

May 26, 2013

Who Owns This Land? In Greece, Who Knows? - NY Times

"As Greece tries to claw its way out of an economic crisis of historic proportions, one that has left 60 percent of young people without jobs, many experts cite the lack of a proper land registry as one of the biggest impediments to progress. It scares off foreign investors; makes it hard for the state to privatize its assets, as it has promised to do in exchange for bailout money; and makes it virtually impossible to collect property taxes.

Greece has resorted to tagging tax dues on to electricity bills as a way to flush out owners. Of course, that means that empty property and farmland has yet to be taxed.

...Greece’s creditors — the European Commission, the International Monetary Fund and the European Central Bank — have made it clear that they want the development of a land registry and a zoning map, called a cadastre, sped up. International experts have been visiting Greece in the past year, offering advice."

May 25, 2013

Greece is banking on big tourist season to prime the economy - LA Times

"Costas Papanicolaou is stuffing his souvenir shop with extra merchandise and stringing his store entrance with welcome flags from umpteen countries.

He's also slashing his prices by as much as 50%, and in a scheme that bears a whiff of desperation, he's even thinking of throwing a Greek toga on a Chinese employee to help lure Asian tourists.

A painful but relatively peaceful year after Greece was beset by grim headlines of political pandemonium and violent protests, tourism experts and the government are expecting a surge in vacationers, and with it a boost to Greece's struggling economy.

But recent memories of chaos in the streets and fear of financial meltdown have people here keeping their fingers crossed that nothing will turn away the expected onslaught, a year after millions of travelers stayed away.

Early bookings released this month show anticipated tourist arrivals at a record 17 million, which could mean an inflow of about $1.3 billion in hard currency, crucial to getting the economy firing up again, boosting tax revenue and leading to 50,000 new jobs during the summer season."

May 24, 2013

Greece has performed better than expected, but still has much to do - The Economist

"This summer should see a record 17m tourists crowding Greek beaches. Bookings from Germany and Russia are soaring, say travel agents. A projected rise of €1.5 billion-2 billion in tourist revenues will give the budget a boost, even though many hoteliers are struggling to service bank debts. Greek contractors expect to resume work in the autumn on €6 billion of EU-financed motorway projects stalled since the crisis. They could create 30,000 jobs.

...Yet the crisis has left a terrible legacy. Five-and-a-half years of recession have wiped out over 25% of output and more than a million private-sector jobs. Tens of thousands of retailers and small manufacturers have gone under. Unemployment is above 27%, a record; for youths it is over 60%. With jobs disappearing, emigration by skilled young Greeks is growing; more than 34,000 went to Germany last year, a 43% increase on 2011. Poverty has become widespread, especially in urban areas. The suicide rate has doubled in three years.

Yannis Stournaras, the finance minister, says Greece is two-thirds through a €13.5 billion programme of spending cuts and tax rises, but the remaining one-third will be tough. “It’s like running a marathon: you’ve completed most of the distance, but you’re starting to get tired.”

Ode on a Grecian Yearning - National Review

"Spending several days in Greece clearly is not enough time to understand what is happening here, but one can absorb an enormous amount by getting away from the tourist spots even for a few hours. James Q. Wilson would be horrified by the state of the city — every surface within reach is covered by graffiti, many buildings are falling apart, there is a general feeling of decay. At first, I thought the subway was part of an urban art project, so thoroughly were the cars covered. It’s a bit like walking through New York in the 1970s; even nice areas are filled with spraypainted logos and slogans. That is not surprising in a country whose GDP dropped nearly 6.5 percent in 2012 and is expected to shrink another 4.5 percent this year.

Yet, despite real unemployment being closer to 35 percent, as I’m told by businessmen, cab drivers, and others, the cafes are filled, downtown shops that are open seem filled with customers, and people both young and old mill through the streets. Granted, there is a huge number of closed storefronts, but there is a constant bustle, even on weekdays. I ask people how everyone survives, if unemployment is so high. Some say it is the money economy — more people are working than the statistics capture, they’re just doing it under the table and paying no taxes. Others say it is because so many young Greeks live off their parents’ pensions, pay no rent at home, and pay no taxes on the work they do. Still others claim that no one saves any money and so everything just goes right into consumer spending.

All feel that the economic system is near breakdown, but few talk about regaining competitiveness and spurring innovation, or discuss how the country can position itself in the global economy. The young people I talk with have a grim reaction that combines anger with blithe unconcern, almost a feeling that there is nothing they can do, so they may just as well ride above the waves as long as they can. Walking through the overgrown and ignored ruins of Plato’s Academy in a neighborhood near downtown Athens, the contrast between the ancient spirit of critical inquiry and today’s cynicism is jarring."

Greece Will Hire 75,000 Young - Greek Reporter

"Desperately trying to slow the slide of record unemployment – now at 27 percent and with some analysts predicting it could hit 30 percent – Greece is planning to hire 75,000 young people, but not until January, 2014, Labor Minister Yiannis Vroutsis said. Nearly two-thirds of those under 25 are without a job during a crushing economic crisis."

Greece could 'earn' more debt relief - Strait's Times

"Greece could be rewarded with another cut in its debt by its international creditors if it continues to apply the terms of its economic recovery, euro zone chief Jeroen Dijsselbloem said on Thursday.

"Euro zone countries are prepared to do more if necessary to help Greece, on the condition that the programme is fully implemented," Mr Dijsselbloem told the Kathimerini daily in English, pointing to a Eurogroup decision on the issue last December."

May 22, 2013

Greece to raise clean energy taxes to erase deficit in industry - eKathimerini

"Greece plans a tax of an average 7 percent on revenues from projects completed from June, according to the Second Economic Adjustment Program for Greece report. It will also extend a temporary tax on installations that was imposed last July, while gradually tripling a levy consumers pay to help fund subsidies.

The country is seeking to rein in growth in the industry after the introduction of feed-in tariffs, or above-market rates for clean-energy production, led to a boom in new projects. The difference between the rates and the prices charged to users has created a deficit that the government wants to erase next year."

Greek PM invites China to 'join Greece's success story' - CS Monitor

"After global rating agency Fitch upgraded Greece's sovereign credit rating from CCC to B- last week, Mr. Samaras tried to convince Chinese officials that the economic crisis plaguing Greece would soon come to an end.

"I wouldn't be here if we in Greece hadn't turned our ship around," he told them during his visit, flanked by 71 Greek businessmen and members of his cabinet, who had to pay their own way to Asia because of budget austerity measures."

CHINA AND GREECE

Luring Tourists Back to Greece - NY Times

"If last summer was a dark spot for tourism in this crisis-hit country, travelers are returning in greater numbers this year, lured by discounts of up to 20 percent on hotels in major cities and on Greece’s stunning islands, as well as assurances — at least for now — that Greece won’t be ditching the euro and returning to the drachma after all.

“The Greek government is stable, and we are no longer under speculation that Greece will leave the euro,” said Xenophon Petropoulos, a spokesman for the Association of Greek Tourism Enterprises. “The value-to-price ratio is excellent at the moment, and that’s helping to bring tourism back.”

With reports of anti-austerity protests last year and early this year fresh in people’s minds, however, the first question being asked by travelers is whether it is safe to visit Greece. The short answer is yes.

“You may have activity in Syntagma Square,” Mr. Petropoulos said. “But 500 meters away, people are drinking beer in Plaka.”

More Greek Tourism

Societal Ills Spike in Crisis-Stricken Greece - NY Times

"As a chill wind swept paper and trash across a grimy sidewalk, Angelos Tzortzinis, a Greek photographer, caught sight of Maria lowering her price to the equivalent of about $6.50. Maria, who would only give a pseudonym, had hoped to get some money for food — and for a cheap but dangerous new street drug that has emerged during Greece’s crisis, guaranteed to obliterate her sorrows, if only for a moment.

With the country heading into the fifth year of economic depression, and unemployment near 60 percent for young people, greater numbers of women and men are offering their bodies for next to nothing to get any scrap of money. According to the National Center for Social Research, the number of people selling sex has surged 150 percent in the last two years.

Many prostitutes have been selling their services for as little as 10 to 15 euros, a price that has shrunk along with the income of clients afflicted by the crisis. Many more prostitutes are taking greater health risks by having unprotected sex, which sells for a premium. Still more are subject to violence and rape.

Now a new menace has arisen: a type of crystal methamphetamine called shisha, after the Turkish water pipe, but otherwise known as poor man’s cocaine, brewed from barbiturates and other ingredients including alcohol, chlorine and even battery acid."

Unemployment stat - 2006 through Q4 2012

May 21, 2013

The Greek Economic Recovery - Globe and Mail Canada

"You wouldn’t recognize Greece today. Its credit rating has been upgraded, the Athens stock market is on fire and 10-year government bond yields have shrivelled to 8.2 per cent, down from nearly 30 per cent at this time last year. Greece is no longer hurtling toward official insolvency.

But some harsh new economic data are putting the recovery scenario into doubt. The latest came on Monday, when the Hellenic Statistical Authority reported that Greek industrial orders were down 12.7 per in March, year on year, while industrial sales were off 11.5 per cent. Unemployment keeps climbing – the youth jobless rate is an astounding 64 per cent – and gross domestic product keeps falling. Since the start of the crisis, the economy has contracted by about 25 per cent.

The improvement over the past 12 months is primarily in foreign investor sentiment, not in the real economy."

Little hope for Greece's jobless youth - DW Germany

"A whole generation of well-educated young people feel like they've simply been set aside, especially because many of them are long-term unemployed," says Ilias Katsoulis, professor of sociology and political sciences at Athens University. He thinks that society could face serious problems. "In a crisis, our society needs these people especially," he says. "But society hardly offers them any opportunities to use their qualifications, and that makes the crisis worse."

It's a vicious circle, but Katsoulis, who has been analyzing the upheavals and reforms in the Greek job market for the past ten years, still sees some hope for the future. After all, he reasons, the Greeks currently leaving the country will all return at some point, and then they will bring their expertise and experience back with them."

Stress test planned for banks - City AM UK

"Greece is recapitalising its four big banks and winding down others deemed non-viable to improve the sector’s capacity to fund the economy out of a deep six-year recession. Banks suffered heavy losses from debt writedowns and bad loans.

Small lenders Hellenic Postbank and Proton were split into good and bad parts and are now fully owned by the Hellenic Financial Stability Fund (HFSF), a state capital backstop funded with €50bn from the country’s bailout package.

The new tests will assess the adequacy of solvency buffers and loan-loss provisions as banks still face rising credit impairments because of the recession."

May 20, 2013

Plan B to take Greece to drachma - Enet English

This item has moved. go here.

'Greece is recapitalizing its four big banks and winding down others deemed non-viable to improve the sector's capacity to fund the economy out of a deep six-year recession. Banks suffered heavy losses from debt writedowns and bad loans.

Small lenders Hellenic Postbank and Proton were split into "good" and "bad" parts and are now fully owned by the Hellenic Financial Stability Fund (HFSF), a state capital backstop funded with 50 billion euros from the country's bailout package.

The European Union and the International Monetary Fund's review said the 50 billion euro sum is enough to cover recapitalization and resolution costs and would leave enough funds for follow-up stress testing for the sector to be completed by end-2013.

The new tests will assess the adequacy of solvency buffers and loan-loss provisions as banks still face rising credit impairments because of the recession. Bad loans rose to 24.2 percent of their books last year from 16.5 percent in 2011."

Greece could still leave the euro, claims Brain - FT Advisor

"Mr Brain, head of fixed income at Newton, said last year’s restructuring of Greek debt – which involved holders of Greek government bonds agreeing to accept a writedown – could keep the country in the eurozone for a period, but it would not work indefinitely.

“The rationale for investing in Greece is just not there,” Mr Brain said. “If it cannot [encourage investment] how can the government justify staying in the euro?"

May 19, 2013

Greece buys 142 ships from China - Brics Post

"The Greek prime minister Antonis Samaras recently concluded a four-day state visit to Beijing, trying to woo Chinese investment to the recession-ridden country.

Greek shipping minister Kostis Moussouroulis said in Beijing that the orders accounted for more than 60 per cent of the recent global orders of Greek shipowners.

The shipping industry, including shipbuilding, is one of the most important sectors for economic and trade cooperation between the two countries."

Greece isn't turning the corner - Bloomberg

"There has also been a flurry of recent investment activity in Greece. After years of procrastination, the government on May 1 accepted a tender to privatize Opap SA, the gambling company that is the country’s most profitable state-owned enterprise. You have to try pretty hard to read this as a success story, though. Opap is the jewel in Greece’s crown, yet the government received only two bids for a 33 percent stake in the company, and the final price of 652 million euros was at the low end of expectations. The state’s natural-gas company, Depa SA, is the next big privatization expected.

There has also been some investor interest in Greek banks and corporations. According to the Financial Times, a group of hedge funds has agreed to participate in the recapitalization of Alpha Bank SA in June. Two Greek companies -- refrigerator-parts maker Frigoglass SA and refinery company Hellenic Petroleum SA -- succeeded in issuing corporate bonds with yields of about 8 percent in recent weeks. While these yields are high, Greek companies were completely shut out of the bond markets in 2012.

Another glimmer of hope is that the price of Greek gross-domestic-product warrants has increased significantly. These were issued as a sweetener to private-sector bondholders who participated in the restructuring of privately held Greek sovereign debt in March 2012. They pay out in a number of years, if Greece reaches certain GDP-growth targets. A year ago, they were priced at about 0.2 euro cent. Last week, they broke through the 1 euro-cent mark, a price increase that indicates investors are betting Greece is on a path to sustainable growth.

This is all hard to square with some of Greece’s economic fundamentals. According to Elstat, Greece’s economy is now smaller than it was in 2005, having shrunk a cumulative 28 percent since mid-2008. The European Commission forecasts a further contraction of 4.2 percent in 2013, which will be difficult to achieve given that the decline in the first quarter was so much larger."

May 18, 2013

Another Dark Corner of the Holocaust - NY Times

“Portraits of Our Past: The Sephardic Communities of Greece and the Holocaust,” on view through Aug. 15, is an exhibition about a little-known sector of the Holocaust that Beth Lilach, senior director of education and community affairs, said she had long wanted to bri

ng to the center. “When most people think of the Holocaust, they think about Germany, Poland, Auschwitz, the camps,” she said. In Greece, however, 87 percent of the Jewish population perished, she said. That represented about 67,000 people, a relatively small share of the six million Jews killed throughout Europe during the Holocaust.

The exhibition, Ms. Lilach said, emphasizes not only the Nazi horrors but also the long history of Jews in Greece and the large number of Greek Christians who risked their lives to save some of them."

The exhibit is being seen near New York CIty. Website

"The Holocaust devastated the Jewish communities of Greece, yet many people are unaware of this tragedy. Through powerful photographs and centuries-old artifacts this exhibit documents Jewish life in Greece before, during and after the Holocaust."

May 17, 2013

Will China Buy Up Greece's Best Assets? - CNBC

"We're on a very good road and the Chinese are interested in finding a gateway entrance into the European Union," Michalos told CNBC's Europe "Squawk Box." Speaking from Beijing, he said the Chinese interest in Greek assets had been encouraged by Greece's privatization program and selloff of its public assets.

"From the discussions we've already had here, the Chinese are interested in participating in these privatizations with local partners - Greek partners and sound Greek businesses. They don't want to enter the market on their own and there are good partnerships that are being developed," he said.

China already has business interests in Greece and has been praised for turning around the fortunes of the Greek port of Piraeus , managed through its state-owned shipping giant Cosco. Michalos said that China appeared to be interested in expanding its presence in Greece's ports."

Teachers Abandon Strike Plan - NY Times

"Greek high school teachers on Thursday called off a planned strike after the government essentially banned it by enacting an emergency law that threatened strikers with arrest or dismissal.

The teachers were unable to attract widespread political and public support for the planned Friday walkout, and after the government’s move a vote by the teachers failed to secure a majority. Only 23 percent voted in favor of joining the strike. The two main labor unions also refused to back the proposed strike, instead staging a four-hour walkout on Thursday that disrupted public services and flights."

What Happened To Greece's Solar Surge? - Forbes

"Just a few months after reporting exceptionally strong growth in the solar sector, Athens announced that they would implement retroactive cuts to state subsidies. Like a number of European states, Greece had implemented a number of funding mechanisms over the last decade aimed at spurring solar growth."

May 16, 2013

Funds are piling into Greece—and believe it or not, that’s not a bad move - Quartz

"In a rare victory for today’s advanced economies, this week Fitch Ratings upgraded Greece’s long-term sovereign debt rating from CCC to B- (still a couple of ranks below investment grade). ”The Greek economy is rebalancing: clear progress has been made towards eliminating twin fiscal and current account deficits and ‘internal devaluation’ has at last begun to take hold,” the agency said in a press release."

Greek bond yields fall after Fitch upgrade - Financial Times

"Fitch Ratings lifted its assessment of Greece’s creditworthiness by one notch to B- late on Tuesday and highlighted the country’s “clear progress” towards fixing its budget and trade deficits.

Standard & Poor’s already rates Greece similarly but the upgrade fuelled a rally in Greek financial markets, sending the benchmark 10-year bond yield down to just above 8 per cent and the Athens stock market to its highest close since August 2011.

“It’s been a tremendous trade,” said Arvind Rajan, a senior fund manager at Prudential, a big US insurer that holds some Greek bonds. “Greece isn’t out of the woods yet but there has been a lot of progress.”

May 15, 2013

Funds bet Greece will survive and thrive - Financial Times

"...Perhaps ‘thriving’ is somewhat optimistic, but there are signs of a turnround in Greece’s austerity-hit economy. Deep spending cuts should produce a primary budget surplus this year, deposits are returning to the banking sector, business confidence is recovering, and after five years of recession the economy is forecast to start growing next year."

Fitch upgrades Greece Credit - BBC

"Ratings agency Fitch upgraded Greece's credit rating, citing progress in cutting its budget deficit and the risk of a eurozone exit receding.

Fitch up-rated Greece by one notch from CCC to B-, which is still junk status.

But Greece, seen by many last year as likely to leave the eurozone, recently won praise from the International Monetary Fund for progress in putting its finances in order.

Fitch also forecast a milder recession in Greece this year."

Greece plans to spin off 30 percent of power utility PPC - eKathimerini

"Greece has added some detail to a long-overdue plan for energy market liberalisation, saying it would sell about a third of the production capacity of power utility PPC to a private competitor in about two years.

Athens has been planning for years to transfer part of the 51 percent state-held company to rivals, aiming to spur competition in its ailing electricity industry.

But the PPC privatisation acquired a new urgency this week after the country's international lenders said they wanted to see a concrete plan for the measure as a condition for releasing further rescue loans under Greece's 240 billion euro EU/IMF bailout."

May 13, 2013

Eurogroup approves next tranche of €4.2Bn - Eurogroup

From the official Eurozone website announcement:

"The Eurogroup concludes that the necessary elements are in place for Member States to finalise the relevant national procedures required for the approval of the next EFSF instalment, which amounts to EUR 7.5 bn. The disbursement will take place in two sub-tranches. A first sub-tranche of EUR 4.2 bn will be approved by the EWG and the EFSF Board of Directors in the following days, following the completion of the national procedures and the full implementation of the prior actions. The disbursement of the second sub-tranche will be made in June 2013, linked to the implementation of the MoU milestones as agreed between Greece and the Troika."

Government blocks Secondary School teacher strike - eKathimerini

"Civil servants are to walk off the job on Tuesday in a bid to express solidarity with secondary school teachers after the government issued a civil mobilization order to force teachers to work on Friday when they had planned an anti-austerity strike.

Civil servants are to hold a rally on Tuesday, starting at 10 a.m. outside the main entrance to Athens University, following a small demonstration in the city center on Monday by teachers. ADEDY has also joined forces with the main private labor union, GSEE, in planning a work stoppage for Thursday, from noon until the end of the workers’ shifts.

The government on Monday issued civil mobilization papers to some 88,000 teachers who face arrest and possible dismissal if they fail to turn up for work from Wednesday, when the order comes into effect."

Government emergency powers against striking teachers - ABC News

"The Greek government said Monday it will use emergency powers to prevent protesting teachers from disrupting university entrance exams this month. Civil servants' unions retaliated by calling a 24-hour strike for Tuesday.

It is the third time this year that the conservative-led coalition government has used the emergency civil mobilization order — a measure normally reserved for natural disasters and other times of national crisis — to end a labor dispute in the crisis-hit country.

More than 2,000 teachers — some dressed in army fatigues to mock the order — and left-wing unionists held two separate, peaceful protests in central Athens late Monday.

Tuesday's nationwide strike is expected to close schools and disrupt public services. Civil servants' union officials told the AP on Monday that the union was also planning a work stoppage Thursday and a series of public protests."

May 11, 2013

The Greek privatization problem - eKathimerini

"The criticism of Greece's efforts has been largely valid but this doesn't mitigate the fact that it has been trying to sell in a buyer's market. The overall European and global economic climate cannot be ignored. Greece has few truly desirable public assets and finding the right price and the appropriate bidder is a challenge that has proved mostly beyond its capabilities. Although, the government will laud the OPAP deal and hold it up as a sign that foreign investors are beginning to believe in Greece, it should not be forgotten there were only two final bids for Greece's most profitable company and that one of these was deemed invalid. The sale of OPAP was more a case of stumbling over the finishing line than smashing through the tape.

...One of the other aims of the privatization program was to bring in foreign acumen to shake up the existing way of doing things and to introduce a new code of ethics to smash the often less-than-virtuous cycle between the state and the private sector. Emma Delta consists of an array of established Greek businessmen and Russian, Czech and Slovak investment funds. It is hard to imagine that their involvement heralds a brave new era for business practices in Greece. Maybe those behind Emma Delta will overturn this impression."

May 10, 2013

3 Years after the bailouts - CNN Money

Article at CNN with simple charts showing the dramatic changes in GDP, unemployment and debt ratio for Greece since the 'bailouts' and austerity began.

Greece wants to return to bond market after massive rally

"Greece, long-time pariah of the global bond markets, finally has some positive news to share. Greek government bond yields are at their lowest levels since the nation defaulted on its debt last year as part of its restructuring package. Around this time in 2012, the yield on 10-year bonds was getting ready to hit 30%, but it has steadily fallen to a low of 9.523% Thursday, according to TradeWeb data.

With that feather in its cap, Greek Finance Minister Yannis Stournarasis said Thursday he is hoping Greece can return to the bond markets in 2014, following in the footsteps of its recession-ravaged brethren, Ireland and Portgual, Reuters reported. Greece has been locked out of the bond markets since 2010."

May 9, 2013

Too early for good news in Greece - New Statesman

"Greece has turned a corner" is the general message Yannis Stournaras, the Greek Finance Minister, has been trying to spread in the past few months.

....the unavoidable question arises: is Greece really doing better or is Stournaras simply spinning a positive vibe to soothe the markets and maybe help Merkel and co. look good ahead of the German elections in September? The first issue here would be a whopping €8.2bn the country owes to private companies and contractors. Greece has only managed to make its overall finances look good by stopping payments towards the domestic market. Part of the bailout funds will have to be used in order for this debt to be paid off, but a sense of "too little, too late" is in the air as this delay has strangled many businesses in the past 3 years. A "possible return to the markets" is more like a "necessary exit" as bailout funds run dry next April and additional aid looks unlikely to arrive."

Sailing in Greece: Dodecanese islands

"The Dodecanese consist of 12 islands, the most easterly in the Aegean, scattered along the Turkish coast. Unfortunately, we only had a week to explore them. For sailors like ourselves who only hoist sails once a year, a fortnight is preferable: the first week can be tense, remembering knots and adjusting to the lavatory and shower arrangements, while the second week is always more relaxed.

We started at Mandraki marina, where once the mighty Colossus of Rhodes, one of the Seven Wonders of the Ancient World, straddled the entrance to the harbour. It is still a spectacular setting, with a Venetian fortress at the entrance, three windmills on the breakwater, and the city’s medieval castle, the Palace of the Grand Master of Knights, as a backdrop."

May 9, 2013

Deregulation of closed professions proceeding - NY Times

"Greece has opened up 247 of its 343 “closed professions” — occupations ranging from notary to taxi driver — where access had been subject to a maze of restrictions, government officials said Thursday.

The officials said the deregulated job market offered greater opportunities to the country’s job seekers as new figures showed the unemployment rate edging even higher.

“Of the 343 professions, 72 percent have been fully liberalized,” Finance Minister Yannis Stournaras said during a joint news conference with Costis Hatzidakis, the development minister. Other fields, including law, engineering and architecture, were “being gradually opened up,” he added.

The progress in breaking open restricted-access occupations, something Greece’s foreign creditors have been demanding for the past three years, “is of extreme significance for those who don’t have work and who will now have better access to the job market,” Mr. Hatzidakis said."

May 7, 2013

IMF: Greece not doing enough against wealthy tax cheats - UK Guardian

"The International Monetary Fund, one of the contributors to the Greek bailout, also said – at the conclusion of its mission to the debt-laden, recession-hit country – that a "taboo against dismissals" in the overstaffed public sector had led to a surge in unemployment in the private sector.

Greece has pledged to cut about 20% of the public sector – or 150,000 jobs – between 2010 and 2015 to help reduce spending, but progress has been slow, while unemployment has topped 27%. A bill has been passed recently to allow 15,000 public-sector posts to be axed.

However, the IMF said Greece had made progress in a socially painful recession. It had made "exceptional" improvements on its fiscal position, its competitiveness and preserving stability in the financial sector."

Greece to weigh anti-Semitism, Holocaust denial bill - Ha-Aretz

"A new legislative initiative in Greece promises a radical crackdown on anti-Semitism and other forms of racism in the country, David Saltiel, the head of the country’s Jewish community revealed on Tuesday. The legislation will be submitted to parliament in the coming days, following the Easter holiday break.

The legislation was drawn up by Costas Karagouni, the Greek deputy justice minister, following consultations held with Saltiel, who serves as president of the Central Board of the Jewish Communities of Greece. Saltiel told Haaretz that he was able to convince Karagouni that the recent surge of anti-Semitism in the country threatened more than the future of the country’s Jewish community, most of which was wiped out during the Holocaust.

“I explained to him that when we talk about anti-Semitism, it’s not only about the Jews, but also about democracy,” he said. “He understands that the situation today requires a change in legislation.”

May 6, 2013

Tax collection still a problem for Greece: IMF - NZ Stuff

"But tax evasion is endemic in Greece, making it more difficult for the government to shore up its finances and denting support for the pro-bailout ruling coalition.

Middle-class wage earners and pensioners, the hardest-hit group in Greece's six-year recession, account for 70 per cent of total personal income declared.

The fund called on the Greek government to strengthen the independence of the tax administration to make it easier to reform the system. It also said Greece must lay off public workers to be able to hire new qualified staff, and not just rely on voluntary departures.

"The taboo against mandatory dismissals must be overcome," the IMF said.

Under Greece's current bailout plan agreed in November, Athens has to cut 150,000 public sector jobs overall from 2010 to 2015, about a fifth of the total, through hiring curbs, retirement and dismissals."

May 4, 2013

Stournaras: The Worst is Over for Greek Economy - UK Telegraph

"Mr Stournaras's upbeat tone comes ahead of the IMF's health check on the Greek economy, which is expected to indicate that the country is turning the corner. The IMF is expected to deliver its annual Article IV Consultation on the country tomorrow, which will give its verdict on whether the economic outlook is improving after six years of deep recession.

The IMF has praised improvements to Greece's much- maligned tax collection procedures, according to reports in the Greek media this weekend.

...Athens is on course to deliver a primary budget surplus – which does not take into account debt payments – a year ahead of schedule. He added that the country has already pushed through two- thirds of the reform measures needed to address the huge holes in the nation's budget. Interest costs on Greece's massive debt pile have been sharply reduced by the debt restructuring the government has made."

May 3, 2013

Brussels sees smaller GDP contraction in Greece - eKathimerini

"The spring estimates on European economies issued on Friday by the European Commission point to an improved condition in Greek economy that will shrink by 4.2 percent this year against an original forecast for a 4.4 percent contraction, against a deteriorating background in the eurozone.

Greece will return to growth next year with its economy expanding by an estimated 0.6 percent."

Traditions of Holy Friday with the Greek orthodox - Greek Reporter

"The corresponding Greek word for Easter is Lambri (meaning brilliant), because the day of the resurrection of Christ is a glorious day and foretells that death is not the end for humans.

However, before redemption comes with Christ’s Resurrection, the faithful must go through the Holy Week, during which the passions of Jesus are commemorated from the day he entered Jerusalem until the crucifixion and subsequent Resurrection.

Some of the highlights of the Holy Week are associated with the Epitaph and its litany on Holy Friday, which is the saddest day for Christians, a day of absolute fasting and no work. On Holy Thursday housewives traditionally prepare tsourekia (Christ bread) and dye eggs red, an ancient symbol of new life and the color symbolizing the blood of Christ.

In older times people used to place the first red egg οn the iconostasis of the house to cast out evil spirits. In some villages, they would mark the head and the back of young lambs with the red dye used for coloring the eggs."

May 2, 2013

Is anti-austerity fever cooling off - Am Public Media/BBC

Audio recording with Mark Lowen from BBC discussing the smaller crowds for the Mayday Workers Holiday in Athens, Greece, and how previous years featured tens of thousands of protestors, with attendant petrol bombs and violence, and this year only 2,000 or 3,000 marchers with a much different tone.

33% of OPAP privatized to Emma Delta - BBC

"Investment fund Emma Delta has successfully bought 33% of Greek gambling monopoly Opap in Greece's first big privatisation.

The much-delayed deal went through after the Greek-Czech fund, the sole bidder for the stake, raised its offer.

Emma Delta's initial bid of 622m euros ($812m; £526m) had been rejected by the authorities for being too low.

Greek Finance Minister Yannis Stournaras said the privatisation had been "successfully completed"

Alpha Bank shares soar on recap deal - Miami Herald

"The market euphoria follows confirmation from Alpha that it will raise up to 550 million euros ($723 million) from private investors, including 457 million euros from a rights issue and the remainder from a private placing.

The rights issue is fully underwritten by a syndicate of international banks including J.P. Morgan, Citigroup, HSBC and Credit Agricole."

May 1, 2013

Greece extends short-selling ban to protect bank stocks - eKathimerini

"Greece's securities regulator has extended a short-selling ban on bank shares to the end of July to protect investors while the recapitalisation of the country's cash-strapped lenders is completed.

Short-selling involves investors borrowing shares to sell on the market and later buying them back at a lower price to make a profit. Greek banking stocks have been heavily shorted as investors bet that stock prices would fall further during the country's sovereign debt crisis."

May Day strikes shut down ferry and trains - Fox News

"Ferry and train services in Greece have ground to a halt as unions hold a strike for May Day.

And hundreds of people are gathering for planned rallies in central Athens Wednesday.

The country's main labor unions are protesting soaring unemployment, which is the highest in the 27-country European Union, and the austerity measures the government is enacting in return for crucial bailout loans."

April Elstat data: Clothing and Footware up 32.8%

See this Elstat PDF Press Release for complete data

Recent Statistics [April 2013]

Improved conditions (vs. previous period) are in GREEN Declined conditions in BLACK

*Worst numbers are for youth, with 61.7% unemployment for those in the 15-24 age group.

Older stats

Unemployment stats

Byzantine Church of the Holy Apostles

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