EU leaders’ summit wrap up

Last night European leaders concluded discussion with Greek counterpart Mr. Alexis Tsiparas. Not much was achieved immediately like always, however provide guidance for time ahead.

Key highlights -

• German Chancellor Angela Merkel took additional responsibility to reduce the rift among Athens and hardliners across Europe, namely Ireland, Slovakia and Finland. She has invited Mr. Tsiparas on a face to face talk in Berlin on Monday.

• However Mrs. Merkel shrugged off request by Mr. Tsiparas for quick access to Euro zone bailout funding of € 7.2 billion. She might be willing to loosen up some of the terms though, which might be agreed over on Monday.

• Meeting was concluded with that Greece will be sending new list of reforms within days as too much time is already been lost and a deadline of April 20 to reach an agreement looms ahead. Mrs. Merkel said, she is of more hope that the reforms will come at earliest.

• It has been cleared that free loans without reforms will be next to impossible to pass through skeptical lawmakers and public. It would also raise eyebrows over preferential treatment.

Analogy -

• Germany seems like loosening its stance as US president Barrack Obama and other leaders across world tried hard to lobby for a potential solution.
  
  
• No Solution might be disastrous not from financial point but foreign politics as Russia and China might spread out helping hand to Greece and gain influence in Europe. Grexit will be of very high impact on foreign politics. It would also put European solidarity in question.
  
  
• No imminent solution might appear as lot many lawmaker inside Mr. Tsiparas's own party are keeping the hard lines over the bailout negotiation. However a deal is more likely as all lawmakers understand that Euro is not just a monetary project but a political one.

Since stakes are very high, any good proposal or deal will be cheered by the market as a whole.