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Syriza MP Asks $330bn Question: "How Will 4-Month Extension Improve Our Negotiating Position?"
While the tone may not be as vociferous as historic Syriza MEP Manolis Glezos' recent statements over the Greek 'new deal', the rhetoric of Costas Lapavitsas (newly-elected Syriza MP) blog post is clearly questioning the decision-making of his party's leadership. With regards "our commitment to the Greek people, we have deep concerns," he begins, detailing five major questions that must be answered, perhaps most importantly, "What exactly will change in the next four months of 'extension', so that the new negotiation with our partners to become of better places? What will prevent the deterioration of the political, economic and social situation of the country?"
The agreement of the Eurogroup is not completed, partly because we do not know yet what 'reforms' will be proposed by the Greek government today (Monday, February 23) and which of them will be accepted. But those who have been elected on the basis of SYRIZA program and believe the promises of Thessaloniki as our commitment to the Greek people, we have deep concerns. It is our obligation to record.
The general outline of the agreement is as follows:
1.The Greece asks for extension of the current credit support agreement, which is based on a series of commitments.
2.The aim of opening is to enable the completion of the evaluation of the current agreement and to give time for a possible new agreement.
3.The Greece will immediately submit a list of 'reforms' which will be assessed by 'institutions' and finally agreed in April. If the evaluation is positive, will be released the money not given even the current agreement plus reimbursements from the ECB profits.
4.The existing funds of the Financial Stability Fund will be used exclusively for the needs of banks and will be out of Greek control.
5.The Greece is committed to fully and timely meet all its financial obligations to its partners.
6.The Greece is committed to ensuring 'appropriate' primary surpluses to guarantee the sustainability of the debt on the basis of the Eurogroup decision of November 2012. The surplus for 2015 will take into account the economic conditions of 2015.
7.The Greece will not revoke measures, or make unilateral changes that can have a negative impact on the budgetary targets, the economic recovery, or financial stability, as will be appreciated by those institutions'.
On this basis, the Eurogroup will start national processes for a four-month extension of the current agreement and urges the Greek authorities to immediately start the process for the successful completion of its evaluation.
It is difficult to see that through this agreement will be implemented announcements 'Thessaloniki' involving the deletion of most of the debt and the immediate replacement of memoranda with the National Reconstruction Plan. Those who were elected by the Syriza pledged to move forward in the implementation of the National Plan regardless of the negotiations on the debt, because we need to restart the economy and relieve society. It is necessary therefore to now explain how these will be implemented and how will the new government to change the tragic situation he inherited.
To be more specific, the National Plan included four pillars at a cost for the first year as follows:
I) Addressing the humanitarian crisis (1.9 billion).
II) Restart the economy with tax cuts, setting "red loans" establishment Development Bank, reset the minimum wage to 751 euros (total 6.5 billion).
III) Public Employment Programme for 300000 jobs (3 billion in the first year and another 2 billion in the second).
IV) Transformation of the political system with interventions in local government and in parliament.
The sources of funding again for the first time planned as follows:
I) Settlement of debts to the tax office (3 billion)
II) Combating fraud and smuggling (3 billion)
III) Financial Stability Fund (3 billion)
IV) NSRF and other European programs (3 billion)
Given therefore the release of Eurogroup, I ask:
1. National Reconstruction Plan
How to fund the National Reconstruction Plan, where 3 billion of the Financial Stability Fund is now outside Greek control? The removal of these funds makes even more pressing the collection of large amounts of tax avoidance and settlement of debts in a very short time. How feasible is this prospect?
2. Remission
How will the debt cancellation, when Greece is committed to fully and timely fulfill all financial obligations to their partners?
3. Austerity Waiver
How to be a waiver of austerity, when Greece is bound to succeed 'appropriate' primary surpluses to make the existing huge debt 'sustainable'? The 'sustainability' debt - as estimated by the Troika - was exactly the reason for the irrational primary surpluses hunting. As the debt is not reduced significantly, it will cease to exist primary surpluses that are catastrophic for the Greek economy and the essence of austerity?
4. Supervision and financial cost
How to proceed any progressive change in the country, when the institutions' will exert strict supervision and prohibit unilateral actions? They will allow the 'institutions' implementation of pillars 'Thessaloniki' as a direct or indirect financial costs?
5. The future negotiation
What exactly will change in the next four months of 'extension', so that the new negotiation with our partners to become of better places? What will prevent the deterioration of the political, economic and social situation of the country?
The moments are absolutely critical to society, the nation and of course the Left. The democratic legitimacy of the government rests in Syriza program. The minimum requirement is to have an open discussion on party members and the Parliamentary Group. Key responses should immediately give these questions to keep the great support and momentum gives us the Greek people. The answers will be given the next period will determine the future of country and society.
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It won't
they need obama over there to show them how to run a country. lol
It should give you chickenshit pussy Greeks another chance to bend over and lube up for some more German discipline
It's funny, people are still talking about an "economic recovery". LOL! What a fucking joke. Where's MY RECOVERY?!!!
You people are so pessimistic. Greece can STILL get the Mega Billions winning ticket and pull out of this mess.
Or better yet, start auctioning off their national treasures.
$40 million for the Acropolis... do I hear 50? do I hear 50?
...Greece should vote....f*ck you Euro.
I don't think the 4 month extension is to help the Greeks any at all. It's to help the massively exposed Central Banks and primary banks secure themselves before Greece finally exits.
There was a Der Spiegel article over the weekend that all but detailed the situation. The top 5 big banks are so exposed to this Greek mess that 30 of their top execs have been meeting every day trying to work out the worst case scenarios ahead of time of what a Greek exit or default could do to them.
They're trying to buy time for themselves to fortify their exposure to the default as quickly as possible before it happens. They need more time because unwinding tens of Trillions in these derivatives is going to be very ugly. It's going to be contagious throughout the system around the entire world.
And that's just when puny little Greece defaults and exits.
After that they also have to have plans in place for when Italy, Spain, France, Irleand, Portugal, etc. etc. all want new deals or they will default.
the whole fucking thing hinges on this.
It seems to me, that if anyone is currently attempting to unwind anything, to reduce exposure, than the position of most of these multinational banks must be a horrifically intractable mess because the markets are not revealing any large movement.... or (thinking out loud)....that's the reason for the strange an unexpected dollar strength, those in the know are slowly purchasing dollar-denominated assets (your guess is as good as mine what those are) which is quietly, calmly and steadily bouying the value of the USD.
... How Will 4-Month Extension Improve Our Negotiating Position?
Well, it gives your people time to pull all their Euros from whatever bank accounts they have (and keep them home in cash or buy gold or silver with them). Also it gives you time to print your own currency (or to switch to yuan if you feel like). That's all there was in this "deal" from the very beginning. There is NOT enough time for the big lender banks to fix their Greek exposure, however...
Smart donkey rider that MP!
The four months time is more abut letting the Troika prepare for the Grexit with less damage. Taking the deal actually weakens Greece's negotiating position in four months...
200,000 for Santorini, but that is my final bid
If they remove all Greeks first I bid 300.000
I feeel like I'm being held captive by Greece. I mean GOD DAMN I'm sick of articles about Greece. Call me when the can gets kicked to the end of the road (if it ever does).
Let them work it out. Or not. Don't give a shit any more. They've had their chance twice and squandered it both times.
Not even Janet Yellen gets this level of scrutiny every time she farts or says hi to the janitor or checks her Facebook page. But these dingleberries in Greece do.
These Greek dingleberries have the trigger that could set off the weapons of finacial destruction the bankers fear.....and there are no good answers.
For the EU, and especially Germany, if Greece defaults, bondholders get wiped out and a multitude of CDO's and other debt bombs go off. If they give in to Greek demands, the other PIGS will want theirs, too.
For Greeks, it's either default now and face extreme hardship for a period of time as they slowly re-build their society on their own, or face crushing austerity .. basically borever, as there is no chance of repaying their debts.
This is way more interesting than the Academy Awards.
Yeah, I know, but you'll forgive me if the novelty has worn off. It's down to a simple binary choice now- stay or go. Until that choice is made, I have little interest. Besides, in the end, I bet they stay.
" ... a multitude of CDO's and other debt bombs go off. "
Everything will be okay ... the greek gov. also bought CDO's
hehehehehehe
They probably have proxy buyers out loading up on CDS by the truckload right now...is it possible they could come out ahead by saying fuck you to the Troika? That would be something...insider trading, just like the the banksters...hahaha! It would probably start a war...
Now that would be some funny shit, fer sure. Especially if they loded up on insurance with borrowed money leveraged to the hilt.
The answer is to rename Greece Southern Germany. Solved!!!
Hey it works for Kentucky and West Virginia.... And the language barrier exists as well.
... I mean GOD DAMN I'm sick of articles about Greece
Would you prefer some Oscar "news" ? I heard they gave the top award to a really "awesome" movie...
Greek goverment : What should we tell the people ?
Obumpma : Just borrow the famous words from the movie Animal House : You trusted us, you fucked up.
For ammunition they will!
Well, seems to me it gets 16 additional subsidized weeks of back shaves for the wife and Ouzo at the beach for Dimitri
In 4 months, the Summer will be upon them and the blazing heat.
Good luck with that productivity.
I hope you all have your bottled water and gold and ammunition. Prices will be going up shortly.
How the fuck is he a politician if he doesn't understand the concept of can-kicking?
Of course he understands the concept of can kicking. It's just that he has realized that the size of this can is the size of a petrol drum and that he is barefoot.
There is difference: Europe already has proven that it can kick a can into lower earth orbit, Syriza claimes to be able to kick it to the moon!
He is having re-election issues in his district. The party has allowed him to desent in order to pander to his base. But make no mistake, at the 11th hour he will vote per the party.
Sadly, you're absolutely right.
The man is right. You can extend but you can no longer pretend.
YES WE CAN(kick)!
Socialism kills!
The thing is most of the money from the so-called 'austerity' program went to the big EU banks to cover their ass The thing is when those new bonds were issued they were "no haircut" bonds so the big banks in theory wouldn't lose anything, no matter what, so the ECB will have to cover everything if Greece goes tits up.
Whats your definition of 'goes' ?
the Greek government walks away and the country follows...
If the economy deteriorates after the Troika agreement, wouldn't that put Greece in a better position to either walk away or get a better deal? They can say they reluctantly went along with the Troika and as a result their economy deteriorated.
Well, anyone can say anything that they want. Question is, whose views get more airtime/traction in an effort to game the game?
After all, it's not like political statements have any real meaning beyond basic posturing.
I love how these professor-type marxist visionaries can't figure why the party has stopped just 'cause the other guy has run out of $$$! Lol!
No surprise. Extend and pretend continues.......
It's like watching an oncoming train wreck - you know what's going to happen, but you just can't stop watching.
and this train wreck is moving slower and slower... eventually it will fall apart because of its age.
Four months extension = many more ELA billions from the ECB to support the Greek banks before Grexit. And maybe some additional billion Euro from the Eurogroup and IMF.
Let me spell it out for you: D-E-F-A-U-L-T, you stupid Greek bastard.
Amen!
The problem between Germany and Greek is plain and simple. Greece think's they're at the "dance" and doing the tango with Germany. An elegant dance involving effort, precision, and grace by both parties. Germany, on the other hand, is happy to be at the dance but is hell bent on performing the latest dance craze twerking. And we all know that Greece at this stage is nothing more than immitating Miley Cirus, bent over, hands flat on the ground, just waiting to get fucked up the ass by Merkel the Master.
Please wake me when there's some real drachma (uh, I meant drama) as this can kicking, extend and pretend, denie and lie, etc. is getting really, really, old. BTW, this is not just a Greece issue but is present in all of the West as the level of insanity with attempting to deal with excessive debt levels but issuing, drum roll please, even more debt to fix the problem is beyond comprehension at this stage. Over and over, round and round, back and forth, just the same old bullshit with only the date and names being different.
Greece is just the first example of the end game. As you stated, almost all of the Western countries are in the same sort of boat.
4 months will give the NWO banksters a chance to overthrow the Greek government to be replaced with a puppet-regime similar to the Ukraine.
And if that doesn't work, the banksters can always fall back on assassination.
Don't ever underestimate the greed or power of the banksters.
Does not make any difference WHO takes power because Greece can not pay. They Can take money as often as some fool wants to "lend" it to them though.
Do these geniuses (cab drivers) ever ask the question, ' What got us into this mess/disaster in the first place?'
Simple. The application for the new BRICS IMF.
Time to stir up some Jim Jones Kool-aid and disperse to the population. it's over Greece, you chose socialism and you lost.
I just love those projected revenue streams -- 3 billion Euros from "combatting fraud and smuggling" and another 3 billion from "settlement of debt to the tax office". Total make believe. But then again, maybe those 300,000 government bureacrat job additions are too.
Anyone suspected of evading taxes is just going to have their account siezed now. But they won't call this a "bail-in"
Yes, just like the fiction that Greece could ever repay those debts. That which can't be paid, won't be paid.
The PIGS need to get together and threaten to default in unison unles a total renegotiation is agreed to - one with negative interest rates. Self liquidating debt over time, but play with the semantics so that there is no default. Either that, or blow up the Eurp.
It won't now default and be off the hook, BUT own up to your socialistic suck too and swear to never do it again!
HAHAHAHAHA
What a fucking joke.
"How does this extension allow our party to start spending money on our friends again? How can I make promises to give people loot when I don't know how much loot their is to steal? We need a way forward so I have something to tell the people who elected me. Democracy depends on it."
That is strange. It's most uncommon for someone who asks for a loan to say it's lender that one doesn't know what will do with the money and how it will be able to pay it back. Greeks are strange people.
They ask for a hair cut.
they do not ask for a new loan.
Germany tries to push them for a new loan=extention.
they say no more loans and a hair cut, because Greece received 8% of the money from ECB, 92% went to banksters abroad.
they do not want to pay the 92%.
And who took that loan in first place? Where not those Greeks?
Not the person on the street that's for sure. The Greek 1% got richer.
Here's the answer to your question as to who acted on behalf of the Greek people. Is he Greek? Technically yes; but considering that he was a lead player in getting Greece into the Euro and then negotiating the first bailouts, I'll leave it to you to say who he really represents.
"Lucas Papademos’ resume is nothing short of sterling and diverse, with a heavy presence in the United States.
He attended the elite Massachusetts Institute of Technology (MIT) in Boston, where he received a degree in physics in 1970, a Masters degree in electrical engineering in 1972, as well as a doctorate in economics, in 1978. He taught economics at Columbia University in New York from 1975 and 1984 and later taught at the University of Athens from 1988 to 1993.
After working as a senior economist at the Federal Reserve of Boston, in 1980, he later joined the central bank of Greece, eventually becoming its governor by 1994. Just prior to his departure from the bank of Greece in 2002, he supervised the country’s adoption of the euro and the elimination of the old drachma currency.
The macroeconomic and microeconomic benefits for Europe and Greece from the introduction of the euro are enormous, he said at the time about the euro.
From 2002 to 2010, he served as a vice-president if the European central bank under Jean-Claude Trichet. As an adviser to former Prime Minister George Papandreou, he played a significant role in Greece’s negotiations with the IMF, the European Commission and the ECB over terms of the bailout packages."
"And who took that loan in first place? Where not those Greeks?"
No, it was the 'EU puppets' acting on behalf of Greece, but really doing what the Troika told them!
These were ushered in, the last time Greece mentioned 'Referendum'?
I hope that dude didn't quit his service industry day job!
Syriza MP Asks $330bn Question: "How Will 4-Month Extension Improve Our Negotiating Position?"
I thought there was nothing to negotiate, as Greece was bankrupt and wasn't bluffing.
Delay, delay delay.
That's their answer. As usual. The Greeks won't be in any better shape in a few months.
Say, maybe a year would be better..
Kick that can four months down the road, bigger can by then
More like a barrel!
someone should finaly say the truth to the greek public sector employees and their wages particulary
German already is .... loud & clear!
Who cares what he says? Dr. V and Tsirpas are awfully quiet today but it is apparently a holiday in Greece. Stay tuned for more exciting news and press conferences from the Pantheon tomorrow.
Where the fuck is Dijsselbloom? I miss him, kinda.
The plot is so thick, you need a 32" Stihl to cut it.
******* SPOILER ALERT *******
GREECE DEFAULT THIS SUMMER !
Sorry if I gave it away too soon....
some music for the Greeks to play at the next meeting with Merkel and Co at least the Germans will understand it Ramstines Du Hast live from the Vokerball is a surperb rendition all on Youtube
It doesn't. Dumb Asses. Even a dumb-fuck Liberal knows that!!! Your Electorate is forming-up now with hammers and pitch forks. Just saying...
Greece's borrowing days are over! Time for plan 'B'!
Most people making comments here seems ferociously satisfied by the (apparent) Greek debacle.
it reminds me when, last summer, everyone called Putin a traitor because he promoted the fisrt truce in East-Ukraine/Donbass/Novorrossiya (as you like it) and then things are what they are now, in that respect.
The Greek government took charge amid a booby-trapped minefield, with ultra-short term liquidity/pibilc services collapse huge problems.
In a situation like the present one in Greece, there are two options:
1- Drop the bomb and starve;
2- Operate a flank maneouver and gain time;
The other side knows it's most effective weapon is precisely the short time non-liquidity and, so, Greek fragility, and acts accordingly.
So, the greeks do what most mediterraneans do skilffuly: start creating confusion, delays and zig-zags, whili preparing a non mass destruction plan B.
Do you blame them?
What would you do in their place ? Go down in flames full of glory ?
I may be completeley wrong, but it seems to me that the game is in its starting moves.
It seems to me the Greek people aren't being honest with themselves. I see two mindsets:
1. Tax evasion, etc still rampant in Greece. No acceptance by the Greek people of what got them into their financial mess in the first place
2. Willingness to keep taking money, which will keep their economy perpetually depressed in the name of not rocking the EU boat.
I think it is like someone at a crossroads, looking at one road into a desert and another up a steep mountainside. The desert path is nice and flat but the terrain is barren with really no hope. The mountain path is really fucking awful to think about climbing, painful, dangerous, etc but there is hope when you reach the top.
The tax cheats will remove their funds from the banks and leave the country.
They will never pay back taxes. Counting this money is a fools task.
the germas are going to say "no" the greeks have already made a deal with the russians. it will set in motion the beging of ww3. im glad im old. obamas wife spent last weekend at the home of the worlds largets arms manf. does that make you feel safe? i saw it with my own eyes. i am not bullshitting.
Lockheed Martin?
Jack Lew said Stop all the bickering. Take the loans and shut up.
This Greek tragedy has become boring to follow, because it is obvious that the financial powers in the EU will not allow a Grexit. The 'drama' behind these negitations is just a carefully scripted play by the new Greek government to give them cred with the people. And really, it sounds like the majority of the Greek people don't even want to swallow the bitter medicine to heal their economy. Isn't it still the case that most Greeks want to keep the Euro? Zzz zzzz.
There is nothing more expensive or boring than a socialist!
News Flash! You don't have a negotiating position. You're in massive debt with no economy. You have only one bullet and that's default/leave Euro, and that's frightening. You know Greece goes mad max if you do that, so you can't, so you don't have any bullets because you don't have the balls to use the only one you have.
Time to get the Ruble into circulation / Russian ships in port / kick all US-Mossad-Mi6 spys out / close the boarders and repudiate the debt.
Get ready to take it Greek Style! When do they finally sack up and leave? Refloat the Drachma, capital floods in, done, happy.
Change the maths system 2+2 = -5 the more debt the more your out of debt. (the extra 1 is my commission for comming up with this brilliant idea. ;)
Whatever Greece agrees to do, they will not actually do. That's the bottom line.
The scenario is pretty simple. Pay the bills or leave the EU.
Here you go Greeks...PAY YOUR FUCKING BILLS.
"Syriza MP Asks $330bn Question: "How Will 4-Month Extension Improve Our Negotiating Position?"
The next 9/11 like false-flag needs about that to finish planning, execution, and to pass the "just happened to have this tyranny in my back pocket" Patriot Act 2.0.
The banksters need to repay us.
Where will the next Dancing Mossad event be staged? Berlin? Frankfurt? Chicago? LA? Detroit?
To all those that are exasperated at this point. I feel the exact same way. Just bloody default already! I don't think i'll be reading another article until they default. If they don't well, I got better things to do.
Four months down the line, Greece will give the ultimatum: Give us free money or we blow up Deuthshe bank's 50 trillion dollar derivatives position. The Germans will have no choice but to cave in..
Classic case of if you owe the bank 350 thousand dollars, the bank owns you. If you owe 350 billion dollars, you own the bank!
Having been in power just a few weeks, I would ask this clown what his Grexit plans are that could be implemented this week? He has none. Greece has none. The Greek banks would close, the ATMs would go away, there would be no Greek currency (yet anyway), the entire country would shut down into chaos.
What could change in 4 months? Well, get off your duff and set up a viable Grexit plan. Then come back in 4 months and say "EU - here are our demands under the existing agreement, and here are our plans for a Grexit -- you choose"
Ladies and Dudes