Russia willing to consider loans to Greece

[bryant.coleman]

The Eurozone countries are going to help them I suppose. I read in the newspaper that Greece is on the verge of defaulting euro 1.7+ billion and have asked the Eurozone countries to help it with euros 7+ billion.

They will not get any more loans from the Eurozone, period. And if they default on their loans (which looks extremely likely right now), the troika will take retaliatory measures, such as kicking Greece out of the Euro Zone, and seizing the Greek government assets abroad. Everything is just a formality now... No one believes that Greek will make the next payment.

[dominicg]

The Eurozone countries are going to help them I suppose. I read in the newspaper that Greece is on the verge of defaulting euro 1.7+ billion and have asked the Eurozone countries to help it with euros 7+ billion.

They will not get any more loans from the Eurozone, period. And if they default on their loans (which looks extremely likely right now), the troika will take retaliatory measures, such as kicking Greece out of the Euro Zone, and seizing the Greek government assets abroad. Everything is just a formality now... No one believes that Greek will make the next payment.

I suppose someone will bail them out of this. It could be US, it has to be US, as China and Russia will try seize the opportunity to get close with Greece if euro zone and america decides not to help it.

[Tusk]

Greece is probably better off siding with Russia, they will get the benefit from the gas pipeline, have a market for their agricultural produce without other competing EU members due to sanctions, a weaker currency boosting tourism and exports. Staying with the Euro they will just have perpetual pain.

[rayhan]

Greece is probably better off siding with Russia, they will get the benefit from the gas pipeline, have a market for their agricultural produce without other competing EU members due to sanctions, a weaker currency boosting tourism and exports. Staying with the Euro they will just have perpetual pain.

You are probably right. But Greece cannot remain with Russia for a long period. And Russia supporting Greece, will be a risk, a risk of Greece getting converted into conflict zone.

[countryfree]

Greece is probably better off siding with Russia, they will get the benefit from the gas pipeline, have a market for their agricultural produce without other competing EU members due to sanctions, a weaker currency boosting tourism and exports. Staying with the Euro they will just have perpetual pain.

A gas pipeline? To what end? Greece doesn't need much of it. The customers Russians want are in the EU, with Italy first in line. I'm not sure many European leaders would be pleased to pay the Greeks to buy Russian gas, especially since that it would be a way to bypass Ukraine, giving Russia an even tighter grip on Ukrainian economy.

I agree that a cheap currency would help exports, sadly Greece doesn't export much. Anyone here likes ouzo? I don't.

[pureelite]

I thought that Russia was in financial trouble  

Well... I'll give you a comparison between the United States and Russia.

Russia:
Net Debt: $243 billion
Forex Reserves: $370 billion
Surplus: $127 billion

United States:
Net Debt: $18,315 billion
Forex Reserves: $121 billion
Deficit: $18,194 billion

Now, from these stats, who seems to be in financial trouble?

Russia has a very good strategic position. This country not depend from other coutries on the world. Because of  all her wealthy depend on it. Most of her income from working with gas. Because of Russia has a money to give in loan.

[Nemo1024]

Now, I wonder what game the Greeks are playing. They've said many times that the Germans and especially Frau Merkel were all nazis, but they would like us to believe that Putin is Mr Nice Guy, and that he will save Greece from rapacious western bankers? I'm doubtful dealing with Putin will be any sweeter than dealing with Mme Lagarde from the IMF.

At least Putin is not trying to steal money from the Greek pensioners, when they are struggling to survive. And he is not siding with Goldman Sucks, when the bank is trying to loot the Greeks.
[/quote]

Another thing to remember. Merkel made herself very unpopular in Greece a few years ago, when she suggested that Germany will take ownership of several of the Greek islands against writing off of the debt. At least Putin is offering Greeks a way to earn money unlike Germany, who wanted to make another stab at land grab.

Greece is probably better off siding with Russia, they will get the benefit from the gas pipeline, have a market for their agricultural produce without other competing EU members due to sanctions, a weaker currency boosting tourism and exports. Staying with the Euro they will just have perpetual pain.

A gas pipeline? To what end? Greece doesn't need much of it. The customers Russians want are in the EU, with Italy first in line. I'm not sure many European leaders would be pleased to pay the Greeks to buy Russian gas, especially since that it would be a way to bypass Ukraine, giving Russia an even tighter grip on Ukrainian economy.

I agree that a cheap currency would help exports, sadly Greece doesn't export much. Anyone here likes ouzo? I don't.

That's backward logic. When Russia bypasses Ukraine, which has a track record of stealing the transit gas, Russia actually forfeits some of the control on Ukrainian economy: Ukraine no longer gets paid the transit fees. As for having a tight grip... You should expand your historical horizon. Russian/Ukrainian economies were intertwined from before the coup d'etat of 1917, when these lands were one and the same country.

You ask to what end if the pipeline? to supply Southern Europe with gas. Northern Europe gets its gas through North Stream. Central (Poland) - through Yamal pipeline. Southern Europe is at a disadvantage, having it's supply routed though a US puppet state. Russia and thous Southern countries want to have a stable supply. And Greece was an industrial country before it joined EU. Who knows, Greece may need more gas once it starts to re-industrialise. And the transit income is very much needed too. Everyone (except the USA) wins.

[HarHarHar9965]

Pretty sweet and smooth move by Russia. After making greece financially dependent, they will hold an upper hand in their region and might take advantage of their favours provided at future. Also, Russia is one of those countries with the lowest debts I assume and maximum resources. They are pretty strong.

I think that is exactly what they are planning, holding an upper hand above Greece to make them dependent financially. Russia has a really low debt and it is very nuclear strong, they will definitely try to hold a position above Greece.

[bitbunnny]

Playing with the devil. By giving loan to Greece Russia will gain influence in the Europe and that is exactly what she wants.

[Alecabel]

Of course Russian financial aid to Greece was not discussed, it's like expecting one broke homeless guy to lend rent money to another broke homeless guy, it's simply not doable .

[pureelite]

http://finance.yahoo.com/news/russia-willing-consider-loans-greece-114122433.html

Russia is willing to consider giving financial aid to Greece, President Vladimir Putin's spokesman said Friday ahead of talks between the leaders of the two countries.

Greek Prime Minister Alexis Tsipras traveled to Russia as his country struggles to reach a deal with its creditors for new loans it needs to avoid defaulting on debt payments at the end of the month. Without the bailout, Greece could be headed for bankruptcy or an exit from the euro.

Tsipras's visit has given rise to speculation that the Greeks may be seeking Russian loans.

I thought that Russia was in financial trouble  

It is, but they need allies. And of course, EU being that rigorous to Greece, will make Greek govt. seek refuge under a different wing. They should cut them some slack, or this could become reallity.

[Nemo1024]

Of course Russian financial aid to Greece was not discussed, it's like expecting one broke homeless guy to lend rent money to another broke homeless guy, it's simply not doable .

Whom do you call "broke and homeless" here. Don't fall for the Western MSM wishful thinking propaganda that wants you to think that Russia is in economic trouble. Nothing is further from the truth.

||||
vvvv

Well... I'll give you a comparison between the United States and Russia.

Russia:
Net Debt: $243 billion
Forex Reserves: $370 billion
Surplus: $127 billion

United States:
Net Debt: $18,315 billion
Forex Reserves: $121 billion
Deficit: $18,194 billion

Now, from these stats, who seems to be in financial trouble?

Playing with the devil. By giving loan to Greece Russia will gain influence in the Europe and that is exactly what she wants.

You can demonise Russia all you want. I don't think attempts to drive a wedge between Russia and Greece will work. Russia and Greece have several centuries of good, mutually-benefitial relations.

To those asking what Greece has to export. Before it joined EU, Greece was one of the to ship-building countries. Wouldn't it be good if it reclaimed that position?

Also, everyone should ask themselves: why is USA so desperate as to sabotage any gas pipeline that would bypass Ukraine? Because USA has a tight grip on Ukraine and can thus blackmail both EU (if you don't as we say, we'll disrupt the gas supply) and Russia (if you don't do as we say, you'll lose revenue from gas sales as the transit will be disrupted).

As it stands now, if Ukraine was a stable state, it should be the same for EU if the gas comes through Ukraine or Greece. With Ukraine in the last death throws, EU should be interested to get the same gas supply through a more reliable source.

[shanem]

Although Russia is broke, this is a good way for Russia to gain new allies as the EU will not lend to Greece without any austerity conditions.
Russia can have influence in Greece which will give them more room in Southern Europe.

[Nemo1024]

Although Russia is broke, this is a good way for Russia to gain new allies as the EU will not lend to Greece without any austerity conditions.
Russia can have influence in Greece which will give them more room in Southern Europe.

Did you read the post just above your? Who told you that Russia is broke?

http://www.tradingeconomics.com/russia/gold-reserves



http://www.tradingeconomics.com/russia/unemployment-rate



http://www.tradingeconomics.com/articles/05062015141245.htm

[Lauda]

Although Russia is broke, this is a good way for Russia to gain new allies as the EU will not lend to Greece without any austerity conditions.
Russia can have influence in Greece which will give them more room in Southern Europe.

Did you read the post just above your? Who told you that Russia is broke?
-snip-

He didn't read any posts, he is part of a signature campaign. Most of the participants usually try replying without reading anything which tends to be obvious at times.
Just a comparison of the USA with an unemployment rate of 5.5%:



I often heard from people that Russia is in a bad state and whatnot. I'm yet to figure out why is that. Is it their own ignorance or are they being influenced by the media?

[Balthazar]

He didn't read any posts, he is part of a signature propaganda campaign.

Fix

[jaysabi]

I thought that Russia was in financial trouble  

Well... I'll give you a comparison between the United States and Russia.

Russia:
Net Debt: $243 billion
Forex Reserves: $370 billion
Surplus: $127 billion

United States:
Net Debt: $18,315 billion
Forex Reserves: $121 billion
Deficit: $18,194 billion

Now, from these stats, who seems to be in financial trouble?

This two-dimensional financial analysis focuses only on a single metric, and ignores the most important factor: ability to borrow / creditworthiness. Until the US government cannot borrow or has as much trouble borrowing as Russia does, it cannot be said to be in financial trouble. With Russian government bonds yielding over 10%, and the US yielding 2.4%, the world markets have spoken about which country is in more financial trouble.

[Tusk]

All markets are cyclical, Greece could well be a fulcrum. The IMF US hegemony are reaching their zenith, for Greece it's a perfect opportunity switch and ride the Bricks swing that will inevitably follow

[Nemo1024]

I often heard from people that Russia is in a bad state and whatnot. I'm yet to figure out why is that. Is it their own ignorance or are they being influenced by the media?

While the recurrent statement that "Russia is bankrupt" is in the category of a wishful thinking lie at best (at worst it's a market-manipulating propaganda on par with the numerous "Bitcoin is dead" meme from those, who wish to buy in cheaper), as with every well-crafted lie, this one too is based on some truth. Russian economy is not optimal. It's agriculture suffered a long period of neglect (from 1992 onwards) and the industry only started rebuilding after a complete destruction during the 90s. As Russia is operating as an open free market (alas, freer than, say, the US market), there was little incentive to invest into agriculture and industry - why bother with initial investments and waiting for ROI, when there was bigger profit to be made at once buying the ready-made stuff from abroad and reselling it on the domestic market?

In that sense, the sanctions imposed on Russia and the resulting counter-sanctions are as a breath of fresh air for a suffocating person. Russia is going now through a process of rebuilding, so some hardships are to be expected.

An interesting read in this regard is the following article:
http://stanislavs.org/for-russia-90s-were-worse-than-wwii/

And the same can be said about Greece. After it joined the EU, both it's industry and agriculture were systematically destroyed and limited by various directives from Brussels. This crisis may well be for Greece the last chance to regain its sovereignty and rebuild its economy. And, mark my words, the same problems that Greece is facing now, will in a short time come to the surface in the Baltic states...

[Lauda]

While the recurrent statement that "Russia is bankrupt" is in the category of a wishful thinking lie at best (at worst it's a market-manipulating propaganda on par with the numerous "Bitcoin is dead" meme from those, who wish to buy in cheaper), as with every well-crafted lie, this one too is based on some truth. Russian economy is not optimal. It's agriculture suffered a long period of neglect (from 1992 onwards) and the industry only started rebuilding after a complete destruction during the 90s. As Russia is operating as an open free market (alas, freer than, say, the US market), there was little incentive to invest into agriculture and industry - why bother with initial investments and waiting for ROI, when there was bigger profit to be made at once buying the ready-made stuff from abroad and reselling it on the domestic market?

In that sense, the sanctions imposed on Russia and the resulting counter-sanctions are as a breath of fresh air for a suffocating person. Russia is going now through a process of rebuilding, so some hardships are to be expected.

An interesting read in this regard is the following article:
http://stanislavs.org/for-russia-90s-were-worse-than-wwii/

And the same can be said about Greece. After it joined the EU, both it's industry and agriculture were systematically destroyed and limited by various directives from Brussels. This crisis may well be for Greece the last chance to regain its sovereignty and rebuild its economy. And, mark my words, the same problems that Greece is facing now, will in a short time come to the surface in the Baltic states...

That's interesting. I was only partially aware of the problems that Russia had (has), however I had no idea that it was this extreme. It is good to see that they are in the process of rebuilding themselves from within. They have a lot of natural resources and shouldn't have that many problems. I never said that Russia was perfect, however calling them bankrupt is just wrong.
Look at the countries that have an unemployment rate of 30% or more.

According to Wikipedia (February 2015), Greece has an unemployment of 25.5%. Why are the Baltic states going to encounter problems?