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ECONOMICS – FINANCE – WORLD NEWS – GREEK DEBT

Something old, something new, something borrowed and a big fat haircut

Germany has a new candidate for the presidency: Joachim Gauck, who is probably more obscure than Belgium’s di Rupo: Not only is actually a social democrat (mind you it’s a Christian democratic/liberal government), he’s also a Protestant pastorand political activist, who used to fight for democracy in former East Germany. Apparently, Merkel called him out of the blue while he was in a cab, leaving the poor 72-year old man “overcome and confused“, says Businessweek. His will [presumably] be elected by the federal assembly on March 18read article

Which brings me to Greece, which may or may not default on March 20. We still don’t have much more thanspeculation and a lot of people that lost their patience. The Eurogroup is meant to meet at 3pm GMT today to talk the talk. Just as a reminder, the deal would include a €100bn debt write-off, and a 70% value loss for private bond holders (through bond swap) and €3.3bn of spending cuts on the Greek side. Then, Greece will receive €130bn to do what needs to be done and repay its maturing debt of €14.5bn in March. But not so fast… €30bn of the new bailout tranche will go to private sector investors to ensure that they’re on board with the whole charade to begin with; €23bn will be used to restructure Greek national banks; Greece will buy back its own debt for €35bn (no, not all of it, stupid); finally, €5.7bn will be used to pay off interest. And all of a sudden this huge pile of money doesn’t even seem that big any more… (numbers from Reuters) read article

The FT has an article about what happened to all those bankers who lost their jobs due to the crisis, answering the question if there will be 40,000 banker-turned-entrepreneur start-ups in the near future. The research turned out to be somewhat difficult, because many never got out of the “don’t talk to the press” mode. read article

Finally, the Economist’s Daily Chart does organ donationsview chart

So long.

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