Germany is Doubtful On Greek Reforms

• 02.27.2015, 15:36
•  Europe,  World

The German parliament is working on the plan to extend financial aid to Greece by four months, BBC reports.

The extension was approved last week by Eurogroup and the creditors in exchange for a series of Greek government reforms. Now the reforms need to be approved by each member countries parliaments. Eurozone Finance Ministers on Tuesday approved a series of reform proposals submitted by Greece. The vote of German parliament is crucial as it is the denominate economic power in the EU, as well as it is the biggest creditor of Greece. Chancellor Angela  Merkel’s center-right bloc voted in favor of extending the 240 bn euros bailout for Greece, which is going to expire on  February28. The center-left Social Democrats that are in coalition with Merkel’s party also voted in Greece favor. Anyway, in the German parliament there are some other parties that are not sure in Greece’s ability to be able for the new deal. German Finance Minister Wolfgang Schaeuble is doubtful over Greek government’s reforms efforts. He said in his interview that there is a lot of doubt in Germany, unless they did not see any money be paid by Greece. Although there is skepticism over the extension, it is expected to pass easily.

Germany as well the other European counterparts understand tհե hazardous economic situation in Greece, which is jeopardizing the European economic system. Examining the situation in stocks and bonds market in Europe as well in Asia, it becomes obvious that the stability in the European family is beneficial for everyone in this case. Moreover the economy of US is also strongly connected with the European partnership. Change of any elements in economy has a domino effect in the world.