""it is far from clear that Germany is willing to give up their own banks
to supervision by the ECB."
It is also unclear what will happen to insurance,
which can not be monitored by the ECB according to the EU Treaty.
Or if the conditions to be imposed in order to use the European Stability Mechanism (MEDE),
conditions that likely will go beyond the financial sector...
...there is an inconsistency between this term and timing of the rescue plan by Spain.
This includes the signing of the memorandum with the conditions for the sector on 9 July,
the end of the audit work in each state on July 31
and defining the specific needs of each in September,
when performing the new stress test bottom-up (bottom up).
Thereafter...immediately nonviable may receive the loan proceeds Europe.
...it seems very complicated to start
...but the text of the Declaration of the Summit opened the door this way,
referring to Ireland: "The Eurogroup will review the status of the Irish financial sector
with a view to further improving the sustainability of the adjustment program is working well.
Similar cases are treated in the same way. "
That similar case would be Spain.
...is this the eurozone’s game changer?
...it is debatable whether there are any terms
for direct eurozone recapitalisation of Spanish banks
which will be acceptable both to the Spanish government and to the German Bundestag.
(The latter will be empowered to “monitor” the new arrangement,
according to Mrs Merkel’s spokesman.)
And the shortage of remaining funds in the EFSF/ESM,
...has certainly not been solved.
...The statement says that this can only be done after the eurozone’s new bank supervisor
and that this should only be “considered” by the Council before the end of the year. ...
I suspect that Germany will be quite demanding is setting these terms.
Otherwise, there could be great problems with the constitutional court...
...German Finance Minister Schauble emphatically said yesterday
...that there would be no increase in the size of the ESM,
and that position has been maintained by Germany at the summit.
Furthermore, Mrs Merkel has repeatedly stated that there will be no “joint financing”
of eurozone debt (ie eurobonds, or eurobills)
before full fiscal union has taken effect.
...there is no change in that position."
From Mike "Mish" Shedlock
I am running for Mayor to bring 50,000 jobs to Greensboro and Guilford County over the next 10 years. I want my kids to be able to live and work around Greensboro after they graduate college. The status quo is currently an impediment to the chances of my being able to watch my grandkids grow up close by. We cannot bring in good paying jobs with an uneven playing field for businesses looking to relocate or expand. I believe we don't have a level playing field, which means some of our city's leaders have acted in the name of our community, while favoring a select few in an ethically inappropriate manner.