07:42 GMT +321 October 2019
Listen Live
    One of the harsh conditions that Greece had to accept this weekend to receive its next bailout package from a group of international creditors to save its crumbling economy was to agree to hand over €50 billion worth of its public assets to an external fund.

    Sold! German Bank to Control, Sell Greek Public Assets

    © AP Photo / Geert Vanden Wijngaert
    Europe
    Get short URL
    Financial crisis in Greece (197)
    171465
    Subscribe

    To save its crumbling economy, Greece was forced to hand over its public assets to an external fund controlled by a German bank, managed by Herr Wolfgang Schaeuble himself.

    Greece and its international creditors reached an agreement after long negotiations over the past weekend. The cash-strapped Mediterranean nation will now receive a €95-billion bailout over the next three years in exchange for quite harsh economic reforms.

    However, the deal didn't come as easily for Greece. German Finance Minister Wolfgang Schaeuble proposed that as much as €50-billion of Greek public assets must be transferred to an external fund and privatized over time.

    Essentially, this means Greece must hand over its public assets worth €50-billion — to the German-government owned fund to be sold by the Germans.

    Poll

    Do you think Germany is being too hard on Greece?
    • Yes. The imposed economic policies will destroy the Greek economy
      82.2% (3273)
    • No. Germany is just trying to save the Eurozone from economic disaster
      17.8% (708)
    Voted: 15
    The fund is called the Institution for Growth and controlled by the German bank KfW, a German government-owned development bank based out of Frankfurt. Now this is where things get awkward: the current Chairman of the Institution for Growth is none other than Schaeuble himself.

    The move may be interpreted as impinging on the sovereignty of Greece. However, what can the Mediterranean nation really do? The morale of the story is simple: bend to Germany's will, or your economy will be destroyed.

    Topic:
    Financial crisis in Greece (197)

    Related:

    German Media Condemns Merkel for Hypocrisy Towards Greece
    Writing Off Greek Debt Would Destroy Eurozone - German Vice-Chancellor
    Germany in Isolation: EU Increasingly Supports Greece’s Debt Haircut
    Greece’s Crisis: Payday for Europe Nears – German Media
    Tags:
    public assets, privatization, bank, Institution for Growth, KfW, Wolfgang Schaeuble, Germany, Greece
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik