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Is Greece Being Forced into the Waiting Arms of Russia?
Nathan McDonald for Sprott Money
We may all be witnessing the beginning of the end of the European Union. For years, experts have stated that it is unsustainable for Greece to stay in the European Union. For years, those experts have been proven wrong.
The assumption has been correct in the fact that Greece is bankrupt and is bringing down the collective of remaining members in the union. They have been correct in stating that it is a ticking time bomb.
What they failed to realize, was how far the bureaucrats in Brussels were truly willing to go in order to keep their vision of a unified Europe together. No matter the cost or the price tag.
Therefore, I will be very surprised if tomorrows meeting will change this reality. Greek finance Minister Yanis Varoufakis makes his debut in the European Union tomorrow. He comes with guns blazing, as he and his party are seeking a massive easing in austerity measures placed on them by foreign financial lenders, including the EU and the IMF.
They are making demands, demands that the EU has been resistant to accept thus far. They know the cascading effect that it will have on the European banking sector. An industry that is already being punished by the crumbling Russian economy, and is in a much more dangerous situation than many would like to admit.
Yet, will the EU be able to resist their demands? Will they allow Greece to leave the EU and ultimately default on its debt? It is doubtful. These unelected leaders will do just about anything to stay in power and continue until their dream comes to fruition.
Given this, it comes as no surprise to hear that the European Union is considering buckling under Greek demands. They are hoping for a decision to be reached by Monday.
The European Union and Western leaders are beginning to change their tune, given the recent threat uttered by Greek Defense Minister Panos Kammenos, who stated that Greece has a “plan B”, should the EU not ease austerity measures and offer additional aid. Reuters reports:
“What we want is a deal. But if there is no deal - hopefully (there will be) – and if we see that Germany remains rigid and wants to blow apart Europe, then we have the obligation to go to Plan B. Plan B is to get funding from another source,” he told Greek television show that ran in to early Tuesday. “It could the United States at best, it could be Russia, it could be China or other countries,” he said.
The last thing Western officials want, is for former allies to change alliances and switch to what they consider “the other side”. Most notably, being Russia, who Western leaders are in the midst of potentially bringing to their knees due to the crippling low price of oil and economic sanctions.
They know that if they do not meet Greek demands, or at least somewhere very close to what they are asking, then Greece has a strong possibility of turning to Russia for aid. The true issue with this, is a fact that I’ve pointed out in the past. It only takes one member of the European Union to veto sanctions. A tool, that the EU has been using to keep Russia in check, due to its involvement in the Ukraine and Syrian wars.
If aid is not given, Greece will be forced into the waiting arms of Russia, who will be more than happy to assist the Greek people, in exchange for an ally in the EU, which is currently something Russia greatly needs.
EU officials cannot allow this to happen, it will force them to remove Greece from the EU, which could lead to a chain of events that would send the EU spiralling out of control, crushing their dreams of a unified Europe and all that they have worked towards, for decades.
Nathan McDonald for Sprott Money
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“It could the United States at best, it could be Russia"
Is the Author sure he got the comma in the right place?
“It could the United States, at best it could be Russia,"
Clever.
ANybody stupid enough to give the Greeks money just better realize that they'll never get it back.
Clever.
ANybody stupid enough to give the Greeks money just better realize that they'll never get it back.
EU officials cannot allow this to happen, it will force them to remove Greece from the EU, which could lead to a chain of events that would send the EU spiralling out of control, crushing their dreams of a unified Europe and all that they have worked towards, for decades.
So it won't happen. And Greece will continue to drag along at the rear of Europe, paid for by Germany.
When the half-dozen other austerity countries see this, they will want to join in. How long can Germany keep supporting a growing set of dependents...?
Greece's Economic Reforms Memo
http://clamo.ftdata.co.uk/files/2015-02/24/GREEK%20GVT%20REFORM%20AGENDA...
Greece will leave the Euro.
Greece's Economic Reforms Memo
"Whatever......whenever. Can we have the cheque now please?"
Furthermore, the Greek side will exploit this period to build stronger alliance with the Sino-Russian bloc. Tsipras will certainly exploit his visit to Moscow in May, while he will search all the possibilities for a financial aid from BRICS which are building fast an autonomous financial system to decouple their economies from the neoliberal monetary monopoly. In the middle of the negotiations, Tsipras already took the chance to send another message to the Western allies with the help of the Chinese fleet.
Well, from looking at the map, I can see one potential source of income. Sell those poor slobs in "Fyrom" the rights to use the name Macedonia...
I'm sure they'll pay, because Fyrom is a stupid name.
i agree.
greece has the leverage because the eurozone cannot afford a grexit. the kings in the counting house will lose a lot of money if greece stays and will lose a lot more if greece leaves. this game is far from over. the eu has 4 months to figure it out. greece has four months to find funding on favorable terms from another source. the new brics bank and payment system is a go. the transition would be as smooth as it could be. the greeks get a market for their goods. the russians (and chinese) get a huge playground for debauchery.
the eu will buckle because it has to. syriza has to make them buckle to stay in power.
if greece does defect then you can bet there will be a duke ferdinopolikova in play.
Not one EU country has a balanced budget, nor any plans to have one.
This assures inflation or worse.
Greece in particular has only plans for spending. The idea of improving their economy is just humorous.
good riddens - I will provide gift wrapping free !
We are so doomed.
"good riddens"
hey, giver prober a break, he attended public skool.
I can't speak for Greece, but I sure as hell am!
"Come to me, Dear Greek."
"OK, Vlad!"
"Wait!! Wh-What are you doing?"
"Don't you want..."
"Yes, but in Russia, we use women!"
I never had Putin pegged as a Greek guy...Obama yes, but not Vlad
Greece isnt going to do jack shit....except what the money chnagers tell them....they will get some minor concessions and get right back on the debt train!!
As for me, Greece has already done the John Boehner (BREAK DOWN & CRY)!!
talk tough until it matters
Dogs and cats living together! Real Wrath of God type stuff!
Greek socialists will steal and default on any convenient source of funds.
Yeah Putin needs a black hole to throw money into.
The propoganda has some value, but not much.
Obama can catch money with that thing? He is vers....now I know what 'dirty money' is
Before you call Greece a black hole, you need to take a good long look at that map. All those beautiful islands, all that wonderful warm water, the position relative to all those ME & No Afican oil fields, the unknown value of oild & gas under the sea.
But you can go ahead and think only of olive oil & feta if that floats your boat. Greece really does have the EU by the balls if they play their cards right. I have been saying for many weeks here that the EU will eventually have to cave to some degree, and that the bondholders will be paid. Who takes the loss long term remains to be seen.
most of these clowns don't know where GR is on the map, let alone even been there.
it makes them look like the exceptional amis they are. lol
Bath House likes Black Holes. I bet he will bail them out with our money!!
Greece is a "black hole" when it comes to throwing money at the prospect Greece is going to fix its' problems.
It never has and never will.
Beautiful country, its' a shame its' people are corrupt as hell.
greece is not a good financial investment to russia, but it has enormous strategic value for:
strategic location
member of nato
member of the eu
russia would gladly pay $billions for greece's votes and for its ports. it can use greece to block further sanctions on russia, to pipe natural gas into europe, & etc.
Speaking of black holes where money just evaporates? (this assumes that digital keystrokes somehow equate to wealth). Now speaking of balck holes. Ukraine (USA black hole). Middle East (Allied idiots black hole). USA politics with the insane idea that "corporations are people" ( black hole that is impoverishing a nation).
Propoganda? shite. Flip the coin.
Wasn't a 3 Billion Euro bond payment due today (or with in days) with funds not being released until the Institiustions approve Greece's latest self inflicting austerity measures ???
The Western economy is not ready for a default by Greece at this time;but it will come. The collapse of the US dollar will follow, call it an implosion.
I need notice please, I need to plan my outfit for the party.
Let's hope so, Putin ROCKS!
The only rocks are the ones in your head if you believe that with such conviction.
He's a better leader than the Obowelmovement, and way more honest.
Gee, a slimy rock from an old crick is smarter than The Bath House.
That isn't saying much either.
Actually it all remains to be seen. I just know better than to blindly trust any politician or person in power.
Greece is bankrupt but not more than Ireland, Portugal, Belgium, Netherlands, Spain and Denmark (just to close the list at this point). Please refer to zerohedge article:
This Is The Biggest Problem Facing The World Today: 9 Countries Have Debt-To-GDP Over 300%I can't speak for Portugal Belgium, Netherlands(?????), Spain or Demark(?????), but certainly Greece is in a far worse place than Ireland. It's debt to GDP is far higher than Irelands and it's economy is far weaker than Irelands. Ireland has a pretty dynamic, export oriented economy, with much lower unemployment that Greece both across the age ranges and especially in the under 25's. I'm not sure how much that has to do with under 25 emigration, but even there, at least most of our under 25 emigrants have a university education and have english as a mother tongue. I'd say that those factors put Ireland well ahead of Greece.
Still when this Ponzi collapses, we'll all be in the same boat. And there again, when you're bankrupt, the numbers don't really mean so much. bankrupt is bankrupt.
I support the Irish whiskey industry enthusiastically. Two thumbs up for Redbreast.
>>> EU officials cannot allow this to happen, it will force them to remove Greece from the EU, which could lead to ...
There is no mechanism to expel from the EU a member state that has not expressed an intention/desire to leave.
See Withdrawal and expulsion from the EU and EMU by Phoebus Athanassiou, December 2009
It would require the unanimous consent of all members to chage that rule.
If Greece leaves, it won't be paying attention to any of the rules. It's called taken back their sovereignty.
ICELAND.
ICELAND never seems to get it's due press these days, Since they said we won't go to the dance. And they are doing pretty well. Jailed some bankers too, They dismantled some folks and jailed some folks, Oh well,
Made overtures to use Canadian dollar, Were rebuffed by the current Nazi in Ottawa.
Right. Canada totally needs another Newfoundland.
"Waiting Arms of Russia" Hope so, anything to expose these sociopathic central bankers and the sociopathic Obama administration for the evil tyranical ass holes they are.
It's like a show on teevee!
GREXIT: SEASON 5
Christine is killed by the hot setting on the tan bed.
Who did it?
A mysterious Russian appears at a Greek Treasury meeting and offers a bailout.
ZATO plans a new series of "war games" in Athens
Angela and Francois are caught in a 3-way with Joe Biden
The Ukrainians blow up Kiev and blame Russia
The British Army lands in Greece but cannot find any Germans.
LOL +1
Why
do
Sprott
Articles
always
triple-space
paragraps?
Is it to make the pieces seem longer and, thus, more important??
yes
yes
yes