Haircut

The passive management of the social security system's reserves has led to large losses.

If the reserves of the funds had been invested in the two mutual funds managed by the now-defunct Social Security Foundation (IKA) from 2002, when the law first allowed for more active management, the return would have been 18.5 billion euros, despite the bond haircut during the debt crisis.

Several financial reporters are celebrating - some even more than the government - the "privatization" of Greece's systemic banks - those whose rescue taxpayers are still paying for.

Banks are promoting a refinancing model which offers haircuts for cooperative borrowers. This is being followed by debt management companies and investment schemes in cooperation with the funds and servicers that have taken over 70 billion euros in bad loans.

By Dimitris Galanis

In evaluating its programme to "rescue" Greece, the International Monetary Fund directly and clearly admits what we all knew: - that the purpose of the programme was not to rescue Greece but to save the banks of the eurozone.

With absolute cynicism the Fund concedes that it made tragic mistakes.

The General Court of the European Union said on Thursday that the European Central Bank does not have to compensate private holders of Greece's sovereign debt who were forced to take losses during the country's 2012 international bailout.

The General Court of the European Union said on Thursday the European Central Bank does not have to compensate private holders of Greece's sovereign debt who were forced to take losses during the 2012 international bailout of the country.

The new plan for restructuring arrears to social security funds foresees a haircut to the original debt averaging between 50 and 55 percent, and a write-off of late fees by up to 85 percent, sources have told Kathimerini.

Greece should have been given a debt haircut in 2010, not two years later, the former chief economist of the European Central Bank has said.

In an interview with German public radio Deutschlandfunk, Jürgen Stark, who resigned from the bank in early 2012, also criticized the ECB's approach in general to the euro crisis.

The restructuring of the bad loans of major enterprises is moving at snail's pace, as banks have not yet achieved a satisfactory level of cooperation. Poor communication and different priorities and targets for each bank are creating obstacles, delays and postponements.

An appalling fatal attack on a young immigrant barber in broad daylight in Moscow was captured on film and uploaded online, causing outrage. The attacker, reportedly a dissatisfied customer who paid around $3.50 for the haircut, has since been detained.