Eurozone will collapse...

[danielf]

Originally Posted by martyh

So why all of a sudden has raiding peoples bank accounts become acceptable? .Why wasn't this policy used with Greece,Italy or indeed the UK ?

and will it be considered for french deposits should they need a bailout?

I think the issue was the amount of cash needed relative to GDP. If I'm not mistaken, investors (rather than savers) also lost money in the Greece bailout.

There's also the issue that the leaders of Northern European countries are finding it increasingly hard to justify these bailouts to their voters. It's by no means a certainty that this money will be repaid.

[Osem]

Originally Posted by Damien

It's acceptable because the alternative was worse. There was no goldilocks solution here.

It's only acceptable to some and who do you think people in Cyprus will blame for this debacle? Whatever the rights or wrongs of this, how many years of antagonism, point scoring, back stabbing within the EU can we look forward to now? Each time another nation is affected in this manner the possible ramifications for European 'union' will increase. It'll be like the ConDem coalition only much worse.

Tell me where's all the harmony and common interest the EU was supposed to be about? I must say I was always of the opinion that keeping everyone working to the common good and living within the same rules was hard within a family, let alone when extrapolated to so many nations as diverse as those now found within the EU.

Originally Posted by Damien

They'll probably need another bailout. I don't think Cyprus' banking system was viable long term anyway. As long as the system dwarfed the rest of the country they were always going to be a hostage to fortune.
.

Which brings us back to a point i raised earlier ,why was it allowed to continue knowing that banks had failed elsewhere in the world for the same reasons .Red flags should have smacking the EU leaders in the face but appear to have been ignored and now ,as you say ,the only way out is to raid accounts for money that isn't really there

[Osem]

Eurocrats don't like alarm bells ringing do they. They hear what they want to hear.

Originally Posted by Osem

It's only acceptable to some and who do you think people in Cyprus will blame for this debacle? Whatever the rights or wrongs of this, how many years of antagonism, point scoring, back stabbing within the EU can we look forward to now? Each time another nation is affected in this manner the possible ramifications for European 'union' will increase. It'll be like the ConDem coalition only much worse.

Tell me where's all the harmony and common interest the EU was supposed to be about? I must say I was always of the opinion that keeping everyone working to the common good and living within the same rules was hard within a family, let alone when extrapolated to so many nations as diverse as those now found within the EU.

This seems more like a general problem with the Euro and the EU. I agree to an extent this level of bitterness and anger is not healthy and that the Euro has been poorly implemented and some countries shouldn't have been admitted. I don't think it's something which has to be invertible though. They need to reform the currency and not allow such things to happen again, a more unified economic policy across the union would be needed.

However that doesn't help the current situation in which something needed to be done.

---------- Post added at 13:39 ---------- Previous post was at 13:36 ----------

Hang on Russia might be doing something, in the form of changing the terms of an existing loan.

http://www.guardian.co.uk/business/2...ut-deal-agreed

Originally Posted by Damien

Hang on Russia might be doing something, in the form of changing the terms of an existing loan.

http://www.guardian.co.uk/business/2...ut-deal-agreed

Demand full and immediate repayment ??

[mertle]

Originally Posted by martyh

Which brings us back to a point i raised earlier ,why was it allowed to continue knowing that banks had failed elsewhere in the world for the same reasons .Red flags should have smacking the EU leaders in the face but appear to have been ignored and now ,as you say ,the only way out is to raid accounts for money that isn't really there

agree wondering if this now change. Many are conviently forgeting G20 meeting recently over tax avoidance/evasion and banking crisis. What was said in this meeting. Not blaming Germany yet. Not say merklel hasnt not been agressive postering she has. More like she wants to show own nation she a hardliner.

I think IMF comes out whole fiasco very badly worse Germany.

Now there change instead bailouts with austerity we now getting bailout with bank funds raids. Its change policy which not convinced is eurozone alone.

Damien if cyprus not long term viable what does that make UK's.

incidently latest is russia planning freezing Germany accounts in russian banking.

watch the show hit

[Osem]

Russians got the hump?

Good job the EU isn't at all reliant on Russian gas eh...

[Sirius]

Originally Posted by Osem

Russian's got the hump?

Good job the EU isn't at all reliant on Russian gas eh...

Well the Russians can not blame us for the mess the EU have made of this.

[Qtx]

Who didn't see this jigsaw of political posturing spirraling out of control from the start? There is a lot more than just Cyprus and their bailout going on here and some of it has had its root nurturing for some time. We probably never will get to know the full extent of the spiders web.

---------- Post added at 15:11 ---------- Previous post was at 14:44 ----------

Wonder if the Cypriot finance minister brought a Euromillions ticket on the off-chance

[mertle]

Originally Posted by Qtx

Who didn't see this jigsaw of political posturing spirraling out of control from the start? There is a lot more than just Cyprus and their bailout going on here and some of it has had its root nurturing for some time. We probably never will get to know the full extent of the spiders web.

---------- Post added at 15:11 ---------- Previous post was at 14:44 ----------

Wonder if the Cypriot finance minister brought a Euromillions ticket on the off-chance

indeed there was cypriot on telly saying there whole lot rats which not been caught. Think we will not get end what gone off for sure.

I would feel for poor cypriot wins the £100m euro lottery tuesday.

now the cypriot paper allergation sorry its the fail report it anybody clarify Filelftheros.

http://www.dailymail.co.uk/news/arti...ey-abroad.html

Cypriot president Nikos Anastasiades 'warned' close friends of the financial crisis about to engulf his country so they could move their money abroad, it was claimed on Friday.

The respected Cypriot newspaper Filelftheros made the allegation which was picked up eagerly by German media.

if proven surely grounds abusing his position.

Yup he might be in some trouble. Resigning offence imo given the emotions involved. He better find a German scapegoat fast.

[Sirius]

If the EU think this is over they are completely out of touch with reality. All the EU elite has done is to ensure that when Cyprus does go down the pan "i give it 5 months tops" they will be able put even more pressure on Cyprus and its banks because of that the extra debt they have given them.

[Qtx]

Originally Posted by Damien

Yup he might be in some trouble. Resigning offence imo given the emotions involved. He better find a German scapegoat fast.

Merkel has been flexing her manly muscles a lot lately. None of the rest of the world like her but she is still there thanks to the germans. Would love to line her up as the scapegoat but the Cypriot PM has all of this on his own shoulders. Not that he will care as those whose money he saved will reward him with enough cash to live comfortably on.

Originally Posted by Sirius

If the EU think this is over they are completely out of touch with reality. All the EU elite has done is to ensure that when Cyprus does go down the pan "i give it 5 months tops" they will be able put even more pressure on Cyprus and its banks because of that the extra debt they have given them.

But you wanted them to take on more debt. This whole bank levy was so that Cyprus contributed to bailing out their banks and therefore reduced the amount of extra debt they'll take on.