Greece and Its EU Partners Post author By Philip Lane Post date January 26, 2010 The FT website carries this explanation of the ‘rescue scenario’ if Greece were unable to fund its liabilities. Categories In EMU Tags Greek crisis 6 Comments on Greece and Its EU Partners ← Security and trade → Improvement in World Economic Outlook 6 replies on “Greece and Its EU Partners” If there is much truth in this story http://www.ft.com/cms/s/0/65ac74fc-0aaf-11df-b35f-00144feabdc0.html then soon enough Greece might not necessarily be the EUs problem to deal with. (purely from an international finance point of view, of course…) Yes – EU is a political union – in worst case scenario – Greece would be rescued by other 11 – but essentially by Germany with French Support. As Ireland would be ………… Greece is European … Today’s Update New York Times Europe Lays Plans for How to Bail Out Greece http://www.nytimes.com/2010/01/29/business/global/29bailout.html?8au&emc=au Europe’s responsibility to mind its own house …….. @LorcanRK What’s the problem with Chinese cash? For Greece or elsewhere? Personally, I would welcome Chinese investment here – China has capital – and at the mo Ireland needs CAPITAL …….. thousand welcomes and open doors. @David O’Donnell, I didn’t mean to imply that there was a problem with Chinese cash. I certainly don’t have any problem with it. What I meant was that if China was going to start (and it seems now like they are not) spending money on Greek debt then they could end up in a situation when they would have to keep buying it in order to keep the country afloat. Good money after bad to stop the whole lot going south. There would be some political concerns with Greece falling into China’s sphere of influence (in the Barry Buzan sense), but from a purely economic position, where the money comes from doesn’t matter to the Greeks. And certainly not to me. @LorcanRK Fully Understood! We are on similar wavelength here. In the bigger picture – good for European progression that we can sort out our own internal affairs …….. and that Germany has maintained sufficient nous and capital to enable us to do so. Comments are closed.