U.S. is the only solution……..???

Greece plans to issue bond to the U.S., according to a report in Financial Times. The British newspaper reports that Greece would issue the bond with U.S. investors during April in order to repay debts in Europe. Particularly, according to the newspaper, Greece expects from U.S. investors to lend her 5 to 10 billion U.S. dollars in order to come up with the borrowing needs of May that rise up to 10 billion Euros (13.5 billion dollars). Indeed, as mentioned, the bond might be undertaken by Morgan Stanley, since the Goldman Sachs who had planned to sell Greek bonds to U.S. and Asian investors, has failed this year because Chinese did not want to buy them. “Greece wants to diversify its investment base in response to this issue, and in this way to attract new emerging markets and foreign investors,” governmental official reported to the newspaper. Furthermore, according to Market News International, Athens would ask for changes in the agreement of EU Summit, in order to circumvent a possible intervention by the International Monetary Fund, as being deeply concerned that the IMF will impose harsh conditions in exchange for its help.
“The reason is that after the summit, Prime Minister George Papandreou has information about measures being taken by IMF and the rewards being asked for financial support, ” says the newspaper, adding that “measures are hard and is likely to cause social and political unrest. Due to that, several cabinet members objected to the use of IMF. The reports highlight  the problems of Greece, where euro’s price gradually is being reduced with an effort to recover since last December. The currency dropped 0.5 percent to $ 1.3418 and 0.9 percent at 126.08 yen. A similar report by the British newspaper Daily Telegraph states that the Greek businessmen and companies intend to invest in foreign markets. Furthermore, large depositors have expressed a strong desire to save their money in international banks such as HSBC or the French Societe Generale. Specifically, more than 3 billion euros in deposits held by Greek households and businesses “fled” the country in February, and January around 5 billion euros of deposits had moved out, according to data from the Bank of Greece.


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