The parade of horrors continues in Greece, as the country is soon to experience drug shortages according to the Hellenic Association of Pharmaceutical Companies.
As reported by the FT — due to an economic strategy motivated by a desire to pay bondholders at 100% on the dollar — the country has stopped or delayed paying various medical bills.
As such, international drug firms are tightening up their trade financing terms, and others are just leaving the country outright. Medical device companies Beckton Dickinson and Covidien have flat out left the country, turning over operations to domestic firms.
Meanwhile, there’s a secondary market for IOUs that were issued by the government just last December, and they’re already trading 35-40% below face value.
In light of all this, the prevailing wisdom in Europe: do more of the same.