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An interesting piece from Forbes on Syriza, the party just about to win power in Greece:
http://www.forbes.com/sites/realspi...s-could-be-trouble-for-european-debt-holders/
Tsipras contends that the 2010 bailouts were what bank analysts call “extend and pretend”; that is, lending good money after bad so that the lender won’t have to recognize the loss from writing off bad debts. Tsirpas may stand firm against the EU, IMF and ECB creditor troika and refuse to accept another tranche of planned lending or even a refinancing of Greece’s bonds. Short of the lending troika granting outright forgiveness of some of Greece’s debt and a re-scheduling of payments based on ability to pay—Syriza’s stated demand—there is considerable political risk of actual default on maturing bonds as they come due.
Perfect timing for the European QE...
