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Could Russia Save Greece?

Secular Investor's picture




 

Greece Putin Tsipras

Whilst Greek minister of finance Yanis Varoufakis was negotiating the new bailout package in Luxemburg, the prime minister of the Greek government, Alexis Tsipras, went on a city trip to Russia. And this obviously wasn’t a coincidence.

Even though both the Russians and the Greeks initially said the visit had nothing to do with the crisis in Greece,right before and after the visit, some Russian government officials acknowledged that if Greece would make an official request for help, Russia would ‘try to help the country out’ . It’s also not a coincidence Russia and Greece already signed the famous ‘pipeline agreement’ whereby Russia and Greece agreed to build a pipeline to export Russian gas to Europe through Turkey (which would bypass the pipelines through Ukraine).

This agreement is important for two reasons. First of all, it rattles the western European countries to see Greece and Russia being best friends again, despite the economic embargo which is still in force. But secondly, and this seems to be overlooked by the Western media; Russia doesn’t seem to hold a grudge against Western Europe (or at least it wants the relationship to normalize). As the European countries are still keeping the trade embargo effective, Russia could easily have shut down the deliveries of gas to Europe to make a statement as well.

Greece pipeline

Source: RT

There’s also a third potential reason for this gas pipeline deal. By avoiding the gas to be routed through Ukraine, Putin could be trying to divert the attention away from Ukraine, as the country was extremely important as transit country. It also means that Russia preferably wouldn’t want to throw the Greeks a lifeline as it could jeopardize all future relationships and potential reconciliation with the Western countries.

So even though Russia has the possibility to bail Greece out (as it could easily make a few billion euro’s available despite its own account deficit) just to poke some fingers in the eyes of the western countries, it probably won’t do so, as whatever your opinion is about Vladimir Putin, he’s an excellent strategist and most definitely isn’t interested in another cold war.

So, no, Greece shouldn’t count on Russia at all, and its only hope is to make some decent proposals on the special Euro summit on Monday. It will be the meeting of the last chance, and the Greeks better have some more details ready on their previously submitted ‘proposals’. At the most recent Euro-group meeting Varoufakis did have some new plans, but he failed to mention a single number of expected revenue, and that really ticked the other negotiators off.

Another solution for Greece might be to sell a part of its gold reserves, but that scenario is unlikely as it would buy the country just a few more weeks as it doesn’t have enough gold to make the large July payment.

So the adage ‘There Is No Alternative’ has never been more correct than in this case. Greece shouldn’t count on Russia and won’t be able to sell its gold to avert a default. So it will either re-gain the credibility of the Eurozone in the meeting of last resort on Monday, or it will leave the Eurozone. There won’t be any ‘in-between’ solution possible.

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Mon, 06/22/2015 - 10:27 | 6221703 large_wooden_badger
large_wooden_badger's picture

The Russian "stream"... rolling down the EU and Obama's back

Mon, 06/22/2015 - 00:31 | 6220962 dogismycopilot
dogismycopilot's picture

The NWO will never let Greece go to Russia. 

Mon, 06/22/2015 - 00:23 | 6220952 Yen Cross
Yen Cross's picture

 I'm Your Huckleberry!

Sun, 06/21/2015 - 23:54 | 6220918 HYMN
HYMN's picture

Save them ? Could they ?  Not at all sure about that. What I am certain of is the fact Russia will act in it's own best interest. It will exploit the situation in Greece for it's own self serving reasons.

Sun, 06/21/2015 - 20:34 | 6220522 Flying Wombat
Flying Wombat's picture

Per usual, Madsen nails it.  -- Eric Dubin

-----------

Hypocrisy reigns supreme in the West

TND Guest Contributor:  Wayne Madsen 

The European Union has hypocritically extended sanctions on Russia and the Russian autonomous Republic of Crimea in support of the politically- and economically-failed state of Ukraine. At the same time, the EU has threatened the sovereignty of Greece for failing to adhere to confiscatory and usurious financial policies set by the banking gnomes of Frankfurt and London, the same bankers that are propping up a corrupt government in Kiev. Nothing spells hypocrisy more than what is taking place in Europe at the direction of the "Eurocrats" of Brussels, their military centurions in NATO, and their overall puppet masters in Washington.

Full story:  http://thenewsdoctors.com/?p=471407

Sun, 06/21/2015 - 20:25 | 6220498 chisler
chisler's picture

Nobody know what Putin will do. Putin is a master strategist and he will play his card at the appropriate time. This isnt about money its about geopolitics. If Putin can make the monkeys in the eu ring perform, he probably will. I doubt this show is going to end in one big pyrotecknics show, its going to be quantitatively eased of the stage.

Sun, 06/21/2015 - 19:30 | 6220341 MaxThrust
MaxThrust's picture

Greece does not need to make concesions on Monday. Better to stick to their current strategy and play bluff. They either get more cash from the EU or they default either option is a good outcome. Cash from Europe allows the can to be kicked and a default allows the proccess of "Icelandic" reconstruction to begin.

Sun, 06/21/2015 - 18:37 | 6220202 miki
miki's picture

if there is some strategic use why not. russians dont sit around tavernas drinking ouzo and coffee, they play chess from boredom looking at the euro circus

Sun, 06/21/2015 - 18:21 | 6220153 thurstjo63
thurstjo63's picture

This guy is seriously deluded if he thinks that Greece is going to change it's position. I guess basic common sense has failed him since what he is saying is that Greece should basically undercut its supporters and cut pensions in order to wait for it... borrow funds to pay off the interest on existing loans!?! Yes, that's a brilliant plan to resolve the economic situation in Greece!?! Greece needs to default because it can never pay off its debts. Just as just about every country in the EU cannot pay off its debts. The only solution is for it to start over on a more sound basis by living within it's means and focusing on reforms that do that as well as grow the economy. Everything else is BS.

Sun, 06/21/2015 - 18:21 | 6220147 Niall Of The Ni...
Niall Of The Nine Hostages's picture

If Russia needs more allies in the Middle East, Israel is prosperous, well-managed, and on the same page regarding the Islamic menace. West Turkey is far more trouble than it's worth.

In the EU "Greece" might have served as Europe's conscience, insisting on sober second thought regarding adventurism in "Ukraine," had Tsipras not been an incompetent and a coward, agreeing to continued samctions one moment and kissing Putin's ass the next.

Outside the EU? Maybe in ten years once Greece's liberals and FSA have died off or scattered to the four winds, and the grown-ups have whipped the place into shape, Greece might be as prepared for Eurasian Union membership as Armenia. For now, let the West Turks reap what they sowed.

Sun, 06/21/2015 - 22:56 | 6220838 Ussurisk
Ussurisk's picture

Huh? Care to develop an idea?

Sun, 06/21/2015 - 17:19 | 6220002 JPMorgan
JPMorgan's picture

After an Greece exit from the EU I'm sure Russia will be more than willing to help.

Sun, 06/21/2015 - 17:02 | 6219951 Ajax_USB_Port_R...
Ajax_USB_Port_Repair_Service_'s picture

Wonder how much sleep Yanis Varoufakis has been getting lately. How well are the ulcer meds working? Sucks to be the Greek Minister of Finance!

Sun, 06/21/2015 - 18:24 | 6220164 Niall Of The Ni...
Niall Of The Nine Hostages's picture

Once the colonels are done with him and Danae, they'll sleep forever.

Sun, 06/21/2015 - 15:55 | 6219782 kchrisc
kchrisc's picture

"Could Russia Save Greece?"

Yes and no.

Yes, but Zion and Europe won't permit it; can't permit it.

Liberty is a demand. Tyranny is submission..

 

"What color will the Greek revolution be?"

Sun, 06/21/2015 - 15:54 | 6219777 basho
basho's picture

the logic of this article is very naive and not thought out at all. if the writer would have spent some time with the existing geo-political realities, he would not come off so childish in his analysis

" Russia could easily have shut down the deliveries of gas to Europe to make a statement as well."

this is BS, absolute BS when one thinks about it. something the author of this post didn't.

"First of all, it rattles the western European countries to see Greece and Russia being best friends again"

childish sounds like ussa foreign policy

"So, no, Greece shouldn’t count on Russia at all, and its only hope"

this is BS. what do you know, really. about RN or about GR?

"By avoiding the gas to be routed through Ukraine, Putin could be trying to divert the attention away from Ukraine, "

This is BS. how would this take attention away from UE when nato/nuland/poroshenko/mccain/imf are all screaming it into the headlines, all the time?

you should have taken the day off instead of penning this dribble. lmao

 

Sun, 06/21/2015 - 10:57 | 6219066 Duude
Duude's picture

In order for Russia to maintain their 2012 budget, they need oil to be at $110 a barrel. So, NO, Russia couldn't afford to stop selling natural gas to Europe any more than they can afford to cut off their export of crude oil.  Russia exports virtually all of their natural gas to Europe with currently a very small allotment of natural gas to China. Yes, they have a $400B deal with China for future natural gas, but that's still dependent upon  undreds of millions of Russian investment into the pipeline, and a much smaller investment from China.  Won't be finished for a few years still, and then, China will have them over a barrel to sell at discounted prices. Russia and China never agreed upon a contracted price. China is a tough customer. You invest hundreds of millions, and in return, they'll fuck you in the ass.  Its just the Chinese way. 

Sun, 06/21/2015 - 10:39 | 6219037 Guentzburgh
Guentzburgh's picture

This is how Dishonest deductions are made,  use your opinion as the premises then offer a logical deduction based on the facts of your opinion.

  'most definitely isn’t interested in another cold war'  (statement out of the blue) .... So, no, Greece shouldn’t count on Russia at all  (based on premises that are ultimately just opinions)

More mud throwing at Greece by zerohedge.

 

Sun, 06/21/2015 - 20:22 | 6220487 willwork4food
willwork4food's picture

Secular has an interest in keeping the system going. You have to ask yourself how Putin amassed a net worth north of $70B to understand the dynamics of the larger chess game being played by the NWO. They need a Fort Sumpter moment and they've groomed this dog for years since Goldman Sachs got their slimey hands on it.

The present system is crumbling, many feel it, some of us know it. The obvious question is when and how? Why would they wish to destroy the central banks? Funny how the BIS, Ron Paul, Paul Craig Roberts all have platformed on public FED evils, yet they are still alive. The BIS has issued  UNPRECEDENTED critical FED statements lately. Why? They are getting ready to melt the current financial system, then rebuild a new one under UN & BIS control with a global currency.

Sun, 06/21/2015 - 20:18 | 6220474 chisler
chisler's picture

I totally agree with your comment about dishonest deductions, I don't agree with your ZH comment because this article was simply posted to ZH and it makes for the eb and flow of discussion. This article was intended to "sell a service" but I doubt that it will have the desired effect.

Sun, 06/21/2015 - 15:54 | 6219776 graneros
graneros's picture

"Russian Deputy Finance Minister Sergei Storchak said on Thursday, Greece has not asked the Russian Finance Ministry for financial assistance and its prime minister is visiting Russia to discuss joint projects rather than to seek cash. Storchak said, "There have been no requests." Adding, "There are no resources (in our budget to provide money)." Greek Prime Minister Alexis Tsipras arrived in St Petersburg earlier on Thursday to meet, among others, President Vladimir Putin."

http://www.onenewspage.com/video/20150618/2993461/Greece-Has-Not-Asked-R...

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