Greece ‘on the brink’ as cash reserves dry up…(Whole Planet Broke!!)
Near-bankrupt Greece is fast running out of cash while it waits for its next installment of aid from international lenders, a deputy finance minister has said, sounding the alarm on the country’s precarious financial position.
31 Jul 2012
Greece’s European partners have repeatedly promised the country will be funded through August, when it must repay a €3.2bn (£2.5bn) bond, but the details of the funding have yet to be disclosed.
In the absence of that money, Greece would run out of funds to pay everyday public expenses ranging from police and other public service wages to pensions and social benefits, Reuters reported.
The country is wholly reliant on aid from its European partners and the International Monetary Fund, who have turned up the pressure in recent weeks by withholding further aid until an assesment of Greece’s compliance with reforms is complete.
“Cash reserves are almost zero. It is risky to say until when [they will last] as it always depends on the budget execution, revenues and expenditure,” Deputy Finance Minister Christos Staikouras told state NET television.
“But we are certainly on the brink, we did not receive the aid tranche we were supposed to and we have the pending issue of an ECB bond maturing on August 20.”