New aid package to be okayed at the end of January!

The Troika informed the Papademos government that the new support package agreement will not be ratified before the end of January 2012, according to protothema.gr sources.
 
Based on the former plans, the new loan agreement would be put into effect by the end of December 2011 at the latest. The only necessity would be the green light from the Greek parliament and that of the rest of the EU countries which happen to be Eurozone members, too.   

For the moment, it is not clear why the change occurred.

However, it pinpoints the need to arrange for the Greek elections - said to take place on February 19, 2012 - on a different date, as this agreement is needed in order for the country to go to the polls. Sources say Papademos and Papandreou have discussed that perhaps there will be no PASOK conference so as to elect the party’s new president before the new package deal is signed.

As it turns out, the 6th tranche will not be affected by the new facts.

IMF officials have stated that the Greek debt can be seen as viable only if the new agreement is signed and the PSI is concluded.

Experts believe the only solution to the dead end could come from the IMF itself since their stance could alter the overall picture of the country’s financial hole.

Therefore, if the IMF would come forward and said the new package is safeguarded already based on the deal reached on October 26, then there would be no problems connected to the 6th tranche disbursement.