Why borrowing is so expensive
GREECE'S economic problem is not chiefly the need for a foreign aid package, it is the fact that the country has no growth prospects.
This is why the financial markets are still so sceptical and it is why the cost of borrowing is so prohibitive for Greece.
The markets are concerned about what happens next, after the EU-IMF bailout is utilised. They are concerned, not about the size of the bailout, but about Greece's own economic strategy, or lack of it.