Alarm bells ahead of Troika arrival

The arrival of the Troika reps in Athens next week have set off the alarm since although the developments in Greece have been positively accepted by the Europeans and the IMF, the 6th tranche disbursement has not been finalized yet.

Troika sources reported to Reuters on Friday that the IMF will give the green light only when they make sure the Greek side will fulfill its obligations agreed on October 26.

Olivier Bailey, the European Commission spokesman, said that the ratification of the 6th installment will be discussed again at the Eurogroup when the Greek side provides them with more information.

After several meetings on Friday and Saturday at the ministry of Finance, the vice-president of the government and relevant minister, Evangelos Venizelos, had an hour-long meeting with premier Papademos on Saturday afternoon.

What topped their agenda were the 6th tranche, the recession and the deficit of the GDP.

Both of them agreed that no further taxes should be imposed in 2011.

The latest developments have positively contributed to how Brussels and the US see Greece. Christine Lagarde in particular has been very satisfied.

Nevertheless, the Bank of America and Merrill Lynch are still suspicious and do not rule out the possibility that Greece might go bankrupt.