EFSF Guidelines Have EU nations disqualified before they apply for the aid

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Details Of EFSF Emerge, However It Is "Too Little, Too Late" | ZeroHedge​

Finally some details of the mythical revised and most certainly Dead on Arrival EFSF program, to be fully announced on Friday, emerge with Retuers bringing the scoop. Here are the preliminary bullets:

EFSF to be able to grant two types of precautionary credit lines, normal and enhanced, based on IMF instruments.
Typical size of both types of EFSF precautionary credit lines for Euro-zone sovereigns could be between 2 and 10 % of GDP according to a document
To be eligible for EFSF precautionary credit lines Euro-zone sovereign must respect EU budget rules, have sustainable debt, external position, no bank solvency problem and seek to reduce macroeconomic imbalances according to a document
Both types of EFSF precautionary credit lines would be for 1 year, renewable for 6 months twice
IMF involvement in design and implementation of EFSF precautionary credit lines will be sought in all cases according to guidelines
Of course, if bullet point 3 is actually enforced, nobody would be eligible. Which means the whole framework is a joke. Yet nothing here changes the fact that with €100 billion set aside for bank recaps, a woefully low number and one which will do nothing to assure investors that banks have sufficient capital, there is still not enough cash to "guarantee" all future issuance, as was described in great detail previously.

The EU nations that plan to use these funds are not only counted as contributing to their own relief fund, thhus artificially boosting the total funds by about $80 billion, but they dont even qualify to get the help by the rules of the insitution itself.

Not only will this not work, but there is absolutely no intention of being honest and looking at the reality of what is involved here at all. It is nothing but wishful thinking, posturing and blowing rumors to float the markets.

These bastards are lying about qualifications before the ink on the document is even dry!

This whole thing is so much bullshit.

This is nothing more than very thinly veiled market manipulation, as for example earlier today the DOW climbed mor ethan 100 points on the announcement that the Germans were going to make an announcement later!

Lololol, if this were the main plot of a novel, an editor would kick it out for sheer unbelievability! But it isnt fictio; it is how the EU operates, lolololol.