Bailout

Greece's conservative-led government has called for a vote in parliament for the country's new president late this month — in a surprise move that will determine its survival in the recession-weary country.

Euro zone finance ministers will take no decision on Monday on any extension of Greece's bailout program, which expires at the end of the year, the bloc's top economics official said.

Greece may need some more time before the last bailout credit tranche can be disbursed by international lenders, German Finance Minister Wolfgang Schaeuble said on Monday in Brussels.

 BoG has decided to hold onto 2 bln euros of the bank bailout fund’s unused resources as a precaution

By Yiannis Papadoyiannis

...

Although Deputy Prime Minister Evangelos Venizelos suggested on Friday that an agreement between Greece and the troika is possible before December 15, the government is keeping its options open regarding its next steps.

Greek 10-year bond yields fell 42 basis points to 7.33 percent on Friday as the country’s deputy prime minister said he expected to have an initial deal with EU/IMF inspectors on their delayed bailout review by December 15.

[Reuters]

Greece is preparing its response to the troika after the country’s lenders demanded a firmer commitment from Athens on fiscal and structural measures, which likely means that the current bailout will have to be extended by at least a month so an agreement can be reached.

Bailed-out Cyprus will be putting out market feelers next week about a possible new bond issue, choosing Barclays, HSBC, Morgan Stanley and SG CIB to organize meetings with European investors.

Greece will have to ask for an extension on its bailout program before parliaments in eurozone nations close for Christmas because a new credit line will not be ready in time, a senior euro zone official said on Wednesday.

Bank of Cyprus, the island’s largest lender, on Thursday announced it had made a 5-million-euro loss in the third quarter as it restructured after a massive debt bailout.

[AFP]