Dijsselbloem Admits "We Used Taxpayers' Money To Bailout The Banks"

“We had a banking crisis, a fiscal crisis and we spent lot of the tax-payers’ money – in the wrong way, in my opinion – to save the banks” outgoing Eurogroup head Jeroen Dijsselbloem said adding “so that the people criticizing us and saying that everything was being done for the benefit of the banks were to some extent right.”

As KeepTalkingGreece.com reports, Dijsselbloem was responding to a question posed by leftist MEP Nikos Chountis during a session at the European Parliament’s Employment and Social Affairs Committee on Thursday.

“This is valid for the banks of all our countries. Everywhere in Europe banks were saved at taxpayers’ cost,” he underlined.

 

“This was the reason for banking union and the introduction of higher standards, better supervision and a reform and rescue framework when banks have losses,” he said stressing  “precisely so that we don’t find ourselves in that situation again.”

Despite the admission he supported the fiscal programs for Greece. He claimed that “there have been measures to boost employment.” He confirmed “even today when I spoke with the [lenders’] institutions they assured me that the third review is going well.”

Labor market reforms, unemployment

The labour market reforms adopted by Greece had brought “clear improvements” that were reflected in the latest unemployment figures in the country, Dijsselbloem said without daring mentioning, of course, the rise of part-time and flexible work contracts that ‘bless’ workers with wages that cannot feed them.

He said that Greece has implemented a great many labour market reforms as part of its programme, which sought to increase the competitiveness of the Greek economy by making the labour market more flexible and correcting imbalances.

“Labour market reform is a delicate balancing act, particularly in the context of a fragile economy. On the one hand there is the crucial issue of respect of workers’ social rights, on the other hand there is the need to preserve flexibility and improve the relative attractiveness of labour as a production factor.”

On collective bargaining, he said these had been frozen to “correct” imbalances caused by excessive wage hikes after the introduction of the euro but agreed that restoring them was now a priority, saying that this would happen at the end of the programme in the summer of next year.

The reforms carried out in Greece until now were “a good compromise,” Dijsselbloem added.

Greek program

On the programme as a whole, Dijsselbloem said the economic situation in Greece had improved as a result of the reforms and stressed the need to conclude the third review on time, while appearing confident that a staff-level agreement have be achieved before the end of the year, so that the next disbursement of loans to Greece can be approved at the start of 2018.

A downward revision of Greek growth rates in 2017 was due to the delay in concluding the second review, he said, but a swift conclusion of the third review will significantly boost confidence and enable growth rates as high as 2.5 pct of GDP in 2018.

“In August we come to the end of the programme and from then Greece stands again fully on its own feet, not just financially but also in policy terms…I hope that there will be such strong effects by then in terms of growth and improvement that the motivation to continue what has been done will be strong,” he said.

 

“If there are, again, adverse shocks or underperforming of growth in Greece, we stand ready to do more to alleviate the Greek debt issue. Work on that mechanism, which is going to be very important in coming decades, will start at the beginning of the year and hopefully then we will go toward the exit of the programme,” he added. (Dijsselbloem speech amna.grtvxs.gr)

We? Dijsselbloem’s term as Eurogroup head ends in December 2017, he should have packed his luggage by January 2018.

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So, Dijsselbloem claims he did not agree with “saving the banks” but apparently had to agree following his master’s voice? Whatever… He will go into history as the most wimpy president of the Eurogroup. But who cares? Oh, the millions of Greeks living at the poverty line or below and the more than 3,000 people who committed suicide  unable to cope with the financial crisis. And the crisis is not over. Not for the real people. Maybe for the country , Greece, but not for the real people.

Comments

MEFOBILLS Thought Processor Fri, 11/10/2017 - 13:43 Permalink

We didn't bail out the banks, they bailed themselves out TARP was a direct bailout.  It was a transfer from taxpayer to banks.  16'th ammendement, 17'th ammendment and FEDERAL RESERVE act, all came together around 1913.  Why?  The machinery works together, to then enable the private banker takeover.  https://publicintelligence.net/pujo-committee-money-trust-wall-street-b… secondary bailout mechanism was INTERNAL to the private banking sector, and that was QE.  QE is basically SWAPS of unlike kinds.  One type of bad paper is swapped for another kind of paper, and presto changeo, there is transformation.  This is typical Kabala magick.  And yes, Kabala is the antecdent to Talmud.  Talmud in turn sanctions Usury.And example of Magick: swapping dollars (created on FEDS keyboard) for Mortgage Backed Securities.  This then paid face value of MBS, and then removed said MBS from Sheriff legal scrutiny.  The robosigning scandal then magickaly poof vanished.  Most of ZH readers are old enough to remember the robosigning scandal post 2008 I assume.So, presto-changeo magick is part of private banking usury con game.  Actually magick is central to the con.Since money's true nature is law, the banks in 1913 had to get their "CREDIT" good for paying taxes, and also be good for paying all debts PUBLIC and private.In other words, the root problem is usurpation of law for the money power's own rent seeking ends.  TARP is an example of law being invoked, tax payers being rip offed, and the flows of purchasing power directed at bankers.  This is privatized gains, and socializing of losses - a legalized rental theft scheme.

In reply to by Thought Processor

Number 9 Fri, 11/10/2017 - 12:49 Permalink

the most glaring objective not discussed is there should be no tax payer money to begin with.with half a brain and some decent history books will prove the greedy reptilians will steal everything including that which is nailed down

css1971 Fri, 11/10/2017 - 12:51 Permalink

What these fuckers believe is that a monetary system built on promises, can ever be stable.I mean what are the thought processes here? Kick the can till i'm gone? What? Are they true believers? World domination through world currency? I'm lost on the strategy here.

Brazen Heist Fri, 11/10/2017 - 12:55 Permalink

Too big to fail leads to too big to jailWelcome to Crony State Capitalism, one helluva hybrid system that works hard to make the 0.01% richer at the expense of everybody else.In other news...

Honest Sam Fri, 11/10/2017 - 12:55 Permalink

I just wasted 3 minutes reading about somone whose super keen perception of the blatantly obvious, and tells us that there is stink on shit.   

Honest Sam Fri, 11/10/2017 - 12:55 Permalink

I just wasted 3 minutes reading about somone whose super keen perception of the blatantly obvious, and tells us that there is stink on shit.   

OverTheHedge Honest Sam Fri, 11/10/2017 - 14:44 Permalink

"Dijsselbloem said the economic situation in Greece had improved as a result of the reforms"He must be living in the other Greece, the one that has unicorns and skittle-shitting Troika members. The one I live in has been completely fucked over. Oh, hang on....he doesn't live in Greece at all, but I expect he has just bought some of that foreclosed beachfront property that was put  under the hammer the other day. I wasn't allowed to participate, but I bet he was.I particularly like the idea that there have been significant labour reforms, too. This must also be in the other Greece. 

In reply to by Honest Sam

ToSoft4Truth Fri, 11/10/2017 - 12:56 Permalink

Now what - Time machine back to 2008?  1972?  1913?  1829 (Andrew Jackson)..... 0012 (when Jesus started work on cleansing the temples) 800-600 BCE when the Jew-god decided to send poverty to Europeans (1st book of Samuel 2:7)? They got away.

Joe A Fri, 11/10/2017 - 13:01 Permalink

The taxpayers were not asked and they don't have anything to say over the bailouts, nor were the saved banks nationalized. This man that belongs to the labour party in the Netherlands -the party of the people- sold out on the people. The other day, this fucker told everybody in NL that he will not take the seat he won in the elections in NL. His party lost bigly and he abandoned the people that voted for him. These voters feel betrayed by him. He said he leaves and gives up the seat he won because he "lacks the firepower that the party now needs". He just doesn't want to conduct opposition politics. He understands that people feel "disappointed". Well, that was the least of the emotions they felt.This weasel will find some lucrative job somewhere at an international organization or financial institution for 'services rendered'. The fucker.