GERMAN Finance Minister Wolfgang Schaeuble said yesterday there could be no taboos in trying to solve the Greek debt crisis and the government had to consider all eventualities."It would be a bad government if it didn't try to prepare for things you can't even imagine," he said.His words came as Greece's deputy finance minister said yesterday the government only had cash to operate until next month, highlighting the urgent need for the next emergency loan to stay afloat.Growing fears of a Greek default sent a hurricane through heavily exposed French banks yesterday and hit the euro as investor confidence in the European currency area's ability to surmount a sovereign debt crisis ebbed... Read on

Watching the young man press himself against the rock before leaping 20 metres into the ice green waters beneath reminded me of why I love Greece. If this had been Britain, endless red signs, railings and red tape would have prevented us scrambling precariously through the glades and pools of Polilimnio to reach the beautiful small Kadi Lake, with its sheer walls and rickety rope ladder. Encouraging the intrepid to cling, and then fling themselves from the six-inch ledges high above to shouts of “bravo”. Instead, it felt like we were being encouraged to liberate the daredevils within us and take risks, clear that the sign saying we should accept responsibility for our own actions was just that. ... 5 comments

The eurozone's debt crisis appeared at risk of spiralling out of control on Tuesday amid doubts about Italy and Greece's willingness to push through austerity demanded by their partners, and hardening opposition to further aid in paymaster Germany. Against a backdrop of nationwide strikes, the government of embattled Italian Prime Minister Silvio Berlusconi scrambled to secure parliamentary backing for a package of reforms that has hammered Rome's credibility in financial markets because of the chaotic way it has been handled... 1 comment

  Returning to Athens after the long hot summer, it is not the sound of cicadas or the sirens of Syntagma that fill the night air but a squeezebox. Every evening, just as the heat of the afternoon wanes, a solitary accordionist wanders the street beneath, eight floors below he stops and waits for us to emerge onto our balconies. A few throw down coins, aiming to miss the dove that has built her nest on the cross wires of telephone poles 30 feet up, and the cars that line the little street. He doffs his cap and occasionally calls for requests. They might have been most popular in Vaudeville but the accordionists of Athens produce a different melancholic sound, sad and reminiscent of lost homelands and lives disappeared... 1 comment

CYPRIOT banks could take a hit of more than one billion euros to shoulder their Greek bailout obligations, forcing them to raise capital and potentially deepening concerns over the island's own sovereign debt. Bank of Cyprus and Marfin Popular Bank have not yet committed to join a voluntary private sector plan to rescue Greece, whereby investors will take a 21 per cent loss on the country's bonds. Marfin held €3.4b of Greek bonds at the end of last year, and is the biggest overseas creditor not yet to pledge to join. It faces a loss of more than €700m. Bank of Cyprus held €1.7b at the end of May. "It's potentially a big hit and they would probably need to raise capital if they took a 21 per cent haircut," said one analyst, who asked not to be named... 24 comments

Kostas Kaimakoglou and Giannis Bourousis had 13 points apiece as Greece topped Russia 63-60 on the third day of the European Basketball Tour 2011 at the Tassos Papadopoulos Eleftheria Athletic Center in Nicosia on Sunday evening. The Russians were leading throughout the game, but the stubborn Greeks managed to take the lead in the final minutes of the game and eventually come out victorious. Antonis Fotsis and Nikos Zisis each had 11 points for Greece, while Vitaly Fridzon led Russia and all the scorers with 24 points. Utah Jazz’s small forward Andrei Kirilienko finished the game with 23 points... Read on

Greek cabbies are getting my sympathy vote. After four years in Athens I have come to rely on the yellow taxis to transport me cheaply around the city and until now they haven’t let me down. It’s the first time in my life I’ve managed without a car, reliant on the three- or four-euro fares that have always brought me safely home. It’s true, I’ve often had to stand in the middle of the road shouting to hail one: the driver is likely to have a hands-free approach, juggling mobile and cigarette, and is very often wearing no seat belt. But many times alone at night they have seen me securely inside the flat door, and once, when I left my wallet on the seat, they were back the next day to deliver it, refusing any reward... 15 comments

THREE NATIONAL Guard (NG) senior officers were due to be suspended last night or today as part of investigations into the Mari naval base disaster, while suspension of a fourth has been held up pending orders from Greece. The due suspensions come on the back of last Wednesday’s suspension by the police of four senior Fire Service officials. According to reports, the Defence Ministry decided earlier in the week to launch disciplinary proceedings against all four officers but reached a stumbling block over how to go about implementing their suspension... 6 comments

CHINA could provide loans to Greece to fund government bond buybacks in the secondary market to help cut the country's debt burden, a Greek finance ministry official said yesterday, but analysts were sceptical. While talks with private creditors on a debt swap continue for a second day, analysts said more money to fund bond buybacks could help Greece shrink its debt mountain but questioned whether China would lend more cheaply than the eurozone. China has made a major investment in Greece's main port in Piraeus and offered to buy government paper when Athens resumes issuance based on comments by its Premier Wen Jiabao, during a visit to Athens last year... 2 comments

CONTRASTING statements by eurozone politicians to domestic audiences have underlined the fragility of last week's deal to rescue Greece and unsettled financial markets already on edge because of the US debt impasse. Greek Prime Minister George Papandreou told lawmakers from his PASOK socialist party yesterdaythat debt-stricken Athens will effectively receive the first joint eurobonds in the form of loans at close to cost price from the euro zone's rescue fund. "The decision of our European partners to lend us at 3.5 per cent, an interest rate just above the one at which Germany itself is borrowing, is in essence tantamount to introducing a European bond, regardless of the fact that this system has not been completed yet," he said... 10 comments