Kathimerini Reports Of An Imminent Greek Cabinet Reshuffle, Finance Minister Likely To Be Ousted

Tyler Durden's picture

It appears that "Goldman employee of the decade", Greek Finance Minister Giorgos Papaconstantinou's days in parliament may be numbered. According to Greek daily Kathimerini, following the commencing of the Troica's midterm fiscal plan review by the parliament tomorrow, there could be a substantial reshuffling in the Greek cabinet: "Prime Minister George Papandreou will soon conduct a Cabinet
reshuffle but has not yet decided if it will be before or after the
government’s medium-term fiscal plan is voted through Parliament,
sources told Kathimerini. From the website: "The two options being discussed by
Papandreou and his closest advisers are either to shakeup his team of
ministers as soon as possible, possibly even as early as this week, or
to make changes to his Cabinet after the government’s economic proposals
have been debated and voted on in Parliament. This would mean that the
reshuffle would happen in early July." While there are risks that the vote on the IMF-imposed fiscal plan may fail, this appears to not be a big concern in Greece currently: "Papandreou and his aides
appear confident that PASOK MPs will not scupper the midterm fiscal plan
in Parliament. The government has a six-seat majority and while it is
expected that one or two deputies might vote against the proposals,
which include further cuts to public spending and more tax hikes, there
will not be a large rebellion." Yet, several high profile pink slips are expected: "It
is expected that one of the casualties of the reshuffle will be Finance
Minister Giorgos Papaconstantinou, who has been severely criticized by
PASOK deputies in recent weeks, both because of the measures he has
adopted and due to claims that he has failed to consult with them." Of course, all of this ignores the popular mood which so far has been peaceful, although it may all come to a head during tomorrow's major strike and Parliament blockade. We hope to webcast from Athens as soon as practical.

More from Kathimerini:

The passage of the fiscal plan through Parliament will mark a crucial few days for the government. A parliamentary committee is due to begin reviewing the bill tomorrow. This process will last until the end of the week and the committee is due to sit again for a second review a week later. The draft law is likely to be submitted in Parliament on June 27 or 28 before a vote on June 30. It is possible that the vote will be delayed by a week.

It is expected that one of the casualties of the reshuffle will be Finance Minister Giorgos Papaconstantinou, who has been severely criticized by PASOK deputies in recent weeks, both because of the measures he has adopted and due to claims that he has failed to consult with them.

A number of people have been linked to the role of finance minister, including the former vice president of the European Central Bank Lucas Papademos, who has recently been acting as an informal adviser to Papandreou. However, sources suggested that the prime minister might opt to place one of the government’s better communicators in the post, which could mean either Regional Development Minister Michalis Chrysochoidis or Education Minister Anna Diamantopoulou taking over.

In an interview with Sunday’s To Vima newspaper, Papandreou said he was open to the idea of bringing people with “wide appeal” into the government, suggesting that he may look to recruit ministers from outside of his party.

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oogs66's picture

Draghi had lots of comments as ECB representative today.  I thought it was interesting that it wasn't Trichet and that he seemed less hard line about restructuring than previous comments.

Noonan from Ireland took the time to speak today, mostly to say Ireland wasn't the same as Greece.


A few other leaders/finance ministers have taken the time to speak.

Feels like we are setting up for a proper restructuring and defence of Ireland.

redpill's picture

Who wants to volunteer for the position of Greek Finance Minister?

Mountainview's picture

I'm sure they will send a GERMAN...!!!

carbonmutant's picture

Would a German Finance minister guarantee them a bailout?

Mountainview's picture

He would guarantee them status of a Land (like they did with East Gemany)...The country is used to this exercise...

pepperspray's picture

I would totally Friend Pap if I didn't DE-activate my account already.

Charlie Bravo's picture

Reshuffling the "cabinet" won't solve Greece's problems.

Charlie Bravo

gwar5's picture

"My Big, Fat Greek Default"

Starring: Greek Finance Minister, Giorgos Papaconstantinou's

Hedgetard55's picture

Giorgos will be well taken care of in exchange for being the first in a series of sacrificial lambs for the Big Man, PapaC.

Hedgetard55's picture

Maybe Leo the K. will take the job?

Dejean Splicer's picture

O/T, sorry to interrupt. Check out this Fukushima core melt activity. It looks like it may be hitting the water table now.

Live cam capture from this morning/last night. At about 2:10, 2:15 min.


Back to the financial melt down.


Lord Welligton's picture

My bad.

Seems it was loaded up on YouTube today.

stopcpdotcom's picture

Deckchairs on the Titanic.

SheepDog-One's picture

And Greece hires foreigners to remove the debris from their escape tunnels...too damn funny.

Rainman's picture

Once the heat from the seat gets too hot, you must change the ass sitting in it. Doesn't mean this sick dog has any chance of getting well though.

Cdad's picture

Okay...now I've heard one straight from over the FUBAR rainbow.  A criminal syndicate Wall Street supporter is arguing that letting more Chinese travelers into the US is the ticket.  His suggestion is, and I quote, "The Chinese want to come to the US and help us create jobs."

The Kingdom of Irrelevance, aka The BlowHorn [CNBC], has now hit the grasping wildly at straws phase of generating an optimistic forward looking, upwardly revised economic theory.

This as they poll their ever diminishing viewers on, "Just what would make you more optimistic on the economy?"  <Cdad raises hand and answers "fewer bankers.">

Sometimes, I think the crocodile algo has me by the leg and has dragged me into an alternative universe.  And I'm pulling for that alternative universe because bankers have destroyed this one.  

Any day now, the pink slips will start arriving in the financial services industry...because I cannot see a single reason for the entire sector to exist...at present.  Holding my breath...


VFR's picture

He obviously didn't say teh right thing at the Bilderberg meeting in Switzerland last weekend

see list of attendees


ILikeBoats's picture

"wide appeal = "wide stance"

VFR's picture

dupe sorry , how can 37 x 12 not be 444


VFR's picture


 dupe sorry , how can 37 x 12 not be 444


AldoHux_IV's picture

A reshuffling is all it is-- no change whatsoever and the cards will still be stacked against the taxpayer/peasantry.

Jonas Parker's picture

Send them George Soros... he could just buy Greece and save the EU the hassle of watching it collapse in slow motion.

nicxios's picture

Haha is GAP from another planet or pretending to be so?

The people are calling for his head on a platter, he's fiddling with his cabinet lol.