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Russia courts Greece, promises a gas price discount and new loans

9 April 2015
Consumers
energynomics

Russia could give Greece a reduction in gas prices and new loans, and the announcement would be made during the visit to Moscow of the Greek Prime Minister, Alexis Tsipras, scheduled for these days, according to the Russian publication “Kommersant”, citing Russian government sources, quoted by Bursa.

The meeting between Vladimir Putin and Alexis Tsipras comes amid to tough negotiations between Greece and Germany, given that the Greek government informed its international lenders that as of April 9, it will remain out of cash to pay its obligations. IMF chief Christine Lagarde announced, however, that Athens has promised that it will pay the debt to the institution she leads, even this week.

A Government spokesman said last week that President Vladimir Putin and Prime Minister Alexis Tsipras intend to discuss during the visit, the economic links and the sanctions imposed by the European Union to Moscow.

Matthew Lynn, British financial journalist said to Sputnik, Tsipras’s visit to Moscow was inevitable: “It’s not really a surprise, that Greece actually remembered, finally, that it has cards to play. The Greeks do not receive so much love from Berlin and Brussels, while the Russians have always been interested in Greece. They fought together in wars in Crimea and have always wanted a port on the Mediterranean Sea, so they have strategic interests. The Greeks may play this card “.

Lynn also said that the Greek government is partly to blame for joining the euro area in the first line: “The Greeks act as a clown team. We go back to the fundamental problem of the euro, a currency that is dysfunctional. Such as a dysfunctional marriage, no good comes of it (…) It’s like a divorce: it’s hard to choose. Typically, each party is behaving very badly and I think that is what we see today. The Germans are too harsh with the Greeks, and they cannot afford more austerity, their economy was shattered. But at the same time, the Greeks acts quite childishly (…) We are talking about a government of the extreme left with little experience in administration. Conclusion: It is a mess. The best thing for the Greeks would be to leave the euro zone “.

According to some sources, in exchange for a discount on gas prices and new loans, Russia wants to have access to certain assets in Greece.

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