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> Economy

Govt minister again promises no 'haircut' in deposits; wants deal ASAP

Minister of State promises no 'haircut' of bank deposits

Newsroom July 5 08:10

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Speaking to the Athens-based Star TV channel, Alternate FM Eucleid Tsakalotos, who now more-or-less heads up the Greek negotiating team, said “we’ll negotiate tomorrow a viable solution”.

Asked how such a solution will come about in 24 hours when five months have passed in fruitless talks, Tsakalotos referred to two new elements.

Firstly, that a recently published IMF report shows, in his opinion, that Greece’s debt is not viable. Secondly, he said there is a popular mandate, as it appears from the first projected results of Sunday’s referendum.

Pappas

Meanwhile, Minister of State Nikos Pappas told another television audience that it would be “good” to have an agreement by July 20, when a payment to the ECB is owed by the Greek government. He added that all sides want such a deal.

Pappas also estimated that conditions to “normalize” conditions in the banking system are now “favorable”.

Greek banks were closed last week and capital controls imposed, allowing bank account holders to withdraw 60 euros per day per account.

“Personally, I am optimistic; much ground has been covered, things are positive to achieve a better agreement,” he said.

More importantly, he promised that no ‘bail-in’ would take place.

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On a different, distinctly negative note, top FT columnist and correspondent Peter Spiegel Tweeted this:

peter_spiegel_no_vote2

 

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