Papandreou questions quick return to bond markets BERLIN — Greece’s prime minister admitted for the first that his country might not be able to tap the markets for its borrowing needs next year as the head of the euro-group nations urged the debt-ridden country to set up an independent privatization body overseen by the European Union to bring down its ballooning debt level.
George Papandreou told the newspaper Ethnos on Sunday that “it does not appear at present that Greece will be able to cover its borrowing requirements in 2012 normally, from the markets.”
As part of its $156 billion bailout deal with the European Union and the International Monetary Fund, Greece was expected to raise $38 billion to help pay its bills in 2012.
Papandreou also acknowledged that Greece “would most likely” default on its debt if the pending fifth installment of its loan package were not granted as scheduled.
A decision on the $17 billion installment is due after a June progress review by the EU, the IMF and the European Central Bank. – AP
IPad maker downplays impact of plant fire
Foxconn Technology Group, maker of Apple Inc.’s iPhones and iPads, should have limited impact from an explosion and fire at its Chengdu plant in southwest China’s Sichuan province, as the base isn’t a main production site, analysts said. Foxconn makes most of the iPhones and iPads at its base in Shenzhen, Guangdong province, according to Vincent Chen, head of Chinese technology research at Yuanta Securities Co., and Macquarie Group Ltd. analyst Daniel Chang. — Bloomberg
China plans financial overhaul of Three Gorges Dam
BEIJING — The operator of China’s giant Three Gorges Dam plans to overhaul its finances after the government made a surprising admission last week that the world’s largest hydroelectric project has urgent environmental, geologic and economic problems.
The China Three Gorges Corp. said a government audit found 31 problems related to financial management, investment, bidding and other issues, the official Xinhua News Agency reported Sunday. — AP
