Greece payout likely to go ahead as inspectors agree reforms

11 October, 2011


The Euro has begun to strengthen (become more expensive) as the EU, IMF and European Central Bank all now agree that Greece is likely to have €8bn of extra bailout funds approved.

Several measures including privatisation, labour reforms, and private sector investment, passed auditors’ tests but a “determined implementation” of the plans will be needed.

We seem to be seeing Euro strength, and therefore worse exchange rates for buying Euros, when packages are close to being agreed which may help Greece avoid default on its debts. The next hurdle, bizarrely, is a vote in the Slovakian parliament, which is the only Eurozone member state yet to approve extra funds for the bailout fund. Even more strangely, the vote is likely to be lost, then repeated, and then passed, at which point we may see the value of the Euro climb back up significantly, so for those of you trying to time your Euro purchase, now could be a good time to buy.