Chillin' out till it needs to be funded
Much has already been said about contributions to the IMF decided earlier in the week, but as it is important to the story of Europe straightening its sail to balance the ships’ tilt we added this almost postscript of a post. The IMF counts among its bailout contributions $65 bln from France and Germany and another $35-40 bln from Spain and Italy. However IMF has clarofied, the funds will be available to others and may no tbe used for the crisis per se.
And where the money will go?
The ECB cash out for example divvying up the $606 bln of date with $260 bln ( EUR 200 bln , courtesy the Mike Mckee quick math wonder) left for banks to attend to debt repayments for the banks like the $100 mln February hole for Italy, only in this case the banks need to repay principal and interest in time (sic!)
The banks are returning the remaining $350 bln odd (depending on the exchange rate to the ECB facilities from which they borrowed just to get the collateral congestion cleaned up a bit.