Sueddeutsche Zeitung: New financial gap of 10 billion euros in Greece

Citing sources from the European Commission, Sueddeutsche Zeitung speaks of new bad news just before Wolfgang Schauble’s visit in Athens, by finding a new financial gap in Greece up to 10 billion euros. According to the newspaper, Schaeuble, who will visit Athens tomorrow, "is not expected to give concrete answers on how to fill this funding gap before the elections on September 22."

SZ also says that the German finmin "will not give promises, nor will he let the program derail," and that by the end of September the Eurozone countries will have to decide how Greece will find the 10 billion euros it needs, otherwise the IMF will discontinue its participation.

The newspaper also notes that in 2013 lenders expect a balanced budget, and that the problem in Greece is not the expenditure, but its revenue. "The expenditure is under control. In terms of revenue, we are still not happy," a European Commission official said, adding that the biggest problem is Greek administration, which has not made any progress in terms of the tax collection mechanism.

The newspaper also refers to Schaeuble’s intention to support small and medium enterprises in Greece with low-interest loans through the state owned KfW development bank.

According to a reportage of the Greek department of Deutsche Welle, Schaeuble will focus on this issue during tomorrow’s visit to Greece. "The German Finance Minister does not come empty handed in Athens. But certainly he will not bring proposals for a new haircut on the Greek debt or to cover the financial gap. Until the day of the German elections on September 22, such difficult issues remain taboo for the Merkel government," DW says.

Schaeuble will meet Greek PM Antonis Samaras and Yannis Stournaras, with whom he will take part in a closed event of Greek-German Chamber of Industry and Commerce.