THE PP WORRIES ABOUT A LOT THE POSSIBILITY OF AN AGREEMENT WITH GREECE

The Spanish minister of Economy and Competitiveness, Luis of Guindos, said today that won't be possible an agreement with Greece in the summit of leaders of the Eurozone. Guindos has assured that it is still a lot of work technician and steps, although yes the bases of a commitment can be reached. Today an agreement is not possible because we still have to analyze many details. 

Behind these words they hide many more political concerns than I alleviate economic for the PP that finally Greece or in this case Syriza ends up getting an agreement to obtain a moratorium in its payments and we will already see if also anger accompanied by some form of it either removes of the debt or of the interests it represents the end of the PP like majority party in Spain if this happens you will tell this way already me who stops to “PODEMOS"  

Today there have been several versions from a new proposal to the Greek and that the holders of Economy and Finances have not still seen it. So the incognito ones continue, but the markets believe that they give for fact the principle of the end of the situation of the Greek crisis, so that you can begin other that will be that of the principle of the next crisis the Eurozone. This will listen with attention the Greek proposal and the analysis that make the three institutions worthy of the same one, to see if there are progresses indeed or not" and because and like they seek to "reach an agreement" 

De Guindos he manifested "I, therefore, would lower expectations in relation to an important meeting that is the summit of bosses of State and of Government of the euro", and he also affirmed not to want to prejudice the Greek proposal before seeing it. I will listen to "it with a vision open of the same one and with the fundamental objective that we all have of reaching an agreement. It is important that the expectations are adjusted to the reality", he noticed. 

It is evident that the Greek proposal scares to Of Guindos and it scares him mainly because he can leave in evidence to the Spanish government that has gone by all that they have requested him that makes that it has ruined to more than 60 percent of the Spanish society, he is so undoubtedly the Spanish government he has made what they have requested him without caring him what could lose the Spanish society that if Greece gets an arrangement more or less convincing they will be telling us. Spaniards have taken the hair and your government has not defended, this is so today he has been carried out a meeting between Rajoy and the president from Portugal Pedro Passos Coelho, to analyze what it passes with Spain and Portugal if Greece gets the incredible thing. 

Once the European Commission (CE), the European Central Bank (BCE) and the International Monetary Fund (IMF) they evaluate the proposal that the first minister from Greece, Alexis Tsipras, it has presented them and they still analyze, they will transfer the minister their vision in this respect and later on they will be the holders of Economy and Finances who you/they give their opinion to the leaders. 

The meeting of minister of Economy and Finances of the area euro, finished without agreement on the last Greek proposal of adjustments and reformations, but an agreement is not discarded in next days, as the president of the Euro group, Jeroen indicated Dijsselbloem. The minister met in Brussels to prepare the summit of their bosses of State and Government that it will begin at the 19:00 hours. This Summit of the Euro, like he knows it to him, it was summoned of urgency last week, after the Euro group that took place last week in Luxemburg finished without agreement and with hard words, while the flight of bank deposits in Athens accelerated. 

The situation is to the limit. The flight of deposits has accelerated in the last weeks (between 4.000 and 6.000 million Eurus, alone in the previous week) and in next week’s prohibitive expirations arrive for Athens (1.500 million Eurus June 30, 3.500 million Eurus July 20 and 3.200 million, August 20).  

The proposal of Athens has arrived this morning and he didn't give time so that the technicians of the troika (European Commission, BCE and IMF) they analyzed it in depth. Before the meeting, this is without a doubt what Greece sought, the minister showed certain I inconvenience with the situation and they took charge of reducing the expectations of being able to close a definitive agreement today. Finnish, the Austrian, the Slovak, German, Spanish... among others. 

This public information contrasts with what other sources comment in private. "The atmosphere was better before the meeting of the Euro group than now", although, they recognize, Greece would have presented measures that, on the paper, they would come closer to the savings that he requests the troika, although it would still lack the technical validation of the institutions. On the IVA, the postures would be more distanced. It leaves of the anger of the minister it comes from the Greek Government's disorganization that he sent a proposal on Sunday at night and other on Monday in the morning that corrected the previous one.  

This is not disorganization that it is political because certainly economic strategy Greece he cannot take any and what Greece is looking for, is in fact to bother many of the minister that don't agree with offering new reformations to Greece that they are taken as sample that the rigidities imposed by these minister in their countries were not neither necessary neither they have been good for nothing else that to ruin their economies. 

Short term, a pact on the program of reformations and Greek adjustments would liberate the payment of 7.200 million Eurus and an improvement of the conditions of financing of the Greek banking on the part of the BCE. But if we enlarge the focus, what is in game is the fitting of Greece in the area euro. Any step in reinforcement would cause an unpaid sovereign from Greece or a crash of its financial system, what would begin the drift toward the emission of a parallel foreign currency and, if the situation is not managed extremely well, toward an exit of the area euro of Greece to avoid that the negotiating tactics and their justifications are copied in societies like the Spaniard and the Portuguese to give some examples.