Greece plays down fears of debt default
Greece and its Europeans creditors yesterday sought to play down fears that Athens would default on a payment to the IMF next week.
Running short of cash to pay salaries, pensions and debt obligations, senior members of Alexis Tsipras’s government have said openly that Greece does not have the money to pay €300m to the IMF on June 5. The threats have spooked financial markets, which fear a default could …
European companies lay off staff due to late payments
European companies could hire substantially more staff if they could only secure timely payments for their invoices, a leading credit management company has said.
Intrum Justitia said its survey of 8,979 companies across Europe showed that one in three enterprises would hire more employees if debtors paid their bills faster.
The survey showed large geographical differences, with around four out of 10 companies in Southern and Eastern Europe saying they …
Average hourly wages rise only 1c in past four years
Average hourly earnings across the economy have risen by a meagre 1 cent to €22.23 since the worst of the economic crisis four years ago.
It suggests that the large numbers of unemployed and under-employed are keeping a brake on any wage increases despite the economic upturn.
CSO data published yesterday also showed average weekly earnings increased by €3.60 in the past year, but that only five of 13 employment …
Ireland ‘benefiting’ from Greek debt crisis
Ireland is surprisingly benefiting from the Greek debt crisis, with the weaker euro against its major UK and US trading partners instead providing a significant economic boost, experts say.
The claims come as the countdown continues towards Greece either failing to meet a significant debt repayment next week or striking a last-minute deal with its official creditors, the IMF and the EU.
But even if Greece were to repay the …
Broad-based jobs growth positive but road is long
Labour market figures, published by the CSO last week, for the first quarter of 2015 contained more good news on the Irish economy. The data show that Ireland is seeing strong, broad-based job growth, with sharply falling unemployment, writes Oliver Mangan.
Employment rose by 12,500, or 0.6% in quarter one, following increases of 13,000, or 0.7% in the fourth quarter and 12,000 (+0.6%) in the third quarter of last year.
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Greece rules out capital controls
Greece’s government has ruled out restricting access to bank accounts and the free movement of money if there is no breakthrough soon in tortuous talks with bailout creditors and its dwindling cash reserves dry up.
The possibility of imposing capital controls – part of a chain of events that could lead to Greece leaving the euro if things take a disastrous turn – “simply does not exist”, said Gabriel Sakellaridis, …
Govt sought advice on property market from Nama
Finance Minister Michael Noonan sought advice from Nama on how to control supply and demand in the property market, according to just-released minutes of Nama board meetings. In a highly unusual move, the minister effectively asked Nama to suggest solutions for managing a market which has historically been left to free enterprise.
At a Nama board strategy meeting on February 5 last year, Mr Noonan raised the “consideration” for Nama …
Greece ‘won’t make €1.6bn June repayment’
Greece cannot make debt repayments to the IMF next month unless it achieves a deal with creditors, its interior minister said yesterday, the most explicit remarks yet from Athens about the likelihood of default if talks fail.
Shut out of bond markets and with bailout aid locked, cash-strapped Athens has been scraping state coffers to meet debt obligations and to pay wages and pensions.
With its future as a member …
Mortgage rules ‘put ownership of homes beyond reach of many’
The Central Bank’s new restrictions on mortgage lending will stop many people from ever buying a home and trap thousands into paying unaffordable rents, it has been claimed.
Mortgage Brain Ireland, which supplies systems to mortgage brokers, agents, and banks, said its research showed that almost half of potential home buyers will be stopped in their tracks from securing a home loan in the next three years because the Central …
Greek optimism on deal not justified, says Wolfgang Schauble
German finance minister Wolfgang Schauble said yesterday the Greek government’s optimism about clinching a cash-for-reforms deal with its lenders within days was not backed up by negotiations and he could not rule out Greece becoming insolvent.
Greek prime minister Alexis Tsipras’s leftist government hopes a deal with foreign lenders is imminent, with finance minister Yanis Varoufakis saying on Monday that an agreement could be reached within a week.