According to a 'strictly confidential' document from the Troika (= EC, IMF & ECB), Greek's Debt/GDP ratio suddenly raised from 149% to 186% in 2013!
This new insight causes a 'potential need for additional official financing' ranging up to €440 billion!! (are you still with me?)
Let's take a look at how Debt/GDP ratio developed in the past and the new optimistic Troika forecast (red line).
Just to help the Troika, I've added a non-miracle 'Maggid' forecast based on simple and more realistic economic principles.
Not a word in the Troika report about the drivers and cultural changes that are necessary to achieve a long term decrease of the Debt/GDP ratio. Everything is based on suggestive mathematical art.
Continue throwing good money after bad, is not the way forward. Greece will first have to show that it is not only willing, but also achieving debt reduction. Current measures are insufficient. Start for example to raise retirement age to 65 as a beginning...
Stop helping Greece to finance their debt, unless Greece shows strong progress in reducing debt itself every month .
If not.., the line 'A Greek Tragedy' will get a new meaning....
- Troika report
- Zerohedge: Greece
- Retirement around the globe blog