‘Greece will get another bn 10 euros’

A homeless man walks next to shuttered shops in a shopping arcade decorated with Greek flags in central Athens, on Wednesday, on August 21, 2013.

A German official says a fresh bailout package by the so-called troika for the recession-hit Greece will be a little over 10 billion euros (USD 13.36 billion), amid economic slump in the European country.

In a statement released on Saturday, Germany’s commissioner to the European Union, Guenther Oettinger, who is also a member of Chancellor Angela Merkel’s ruling conservative party said that Å“It will be a manageable sum. I personally expect the figure to be a little over 10 billion euros.”

Greece has been dependent on bailout funds from international rescue loans approved by the troika of international creditors – the European Commission, the International Monetary Fund (IMF) and the European Central Bank (ECB) – since May 2010.

Earlier this month, Greek officials said a new aid package is necessary in order to plug any funding shortfall over 2014-2016.

This followed a report published by prominent German magazine Der Spiegel earlier this month, saying the Bundesbank, Germany’s central bank, has indicated that the cash-strapped Mediterranean country will need more bailout loans from the so-called troika of international lenders by the start of 2014.

The Greek economy is in its sixth year of recession due to fiscal mismanagement, resulting in tax rises and spending cuts.

Meanwhile, the countryâ„¢s unemployment rate stands at more than double the eurozone’s average reading of 12.1 percent, reflecting a deepening recession after years of austerity being imposed under the EU bailout plan.

Europe plunged into financial crisis in early 2008. The worsening debt crisis has forced the EU governments to adopt harsh austerity measures and tough economic reforms, which have triggered incidents of social unrest and massive protests in many European countries.


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Republished from: Press TV