Austria tells Greece to get stuffed (Will Austria Renege on Bailout Funds?)
Europeís hastily assembled bailout fund already seems to be coming apart at the seams, and thatís before Ireland has even tapped into it. Austria is refusing to contribute to the next tranche of bailout money for Greece, citing the countryís failure to meet conditions. Yesterday it emerged there is serious slippage in Greeceís deficit reduction programme.
The way things are going, the facility will fail even before its wider fault lines have been fully exposed. Europe is making things up as it goes along, and a pretty desperate job it is making of it too. The extraordinary thing to outsiders trying to analyse these events is just how poorly prepared Europe was to cope with sovereign debt crises within its midst. Indeed the no bailout clause contained in the Maastricht Treaty seemed to deny the possibility of there ever being one.