Strong messages from the head or the IMF,
the head of Deutsche Bank, and the president of the Bundesbank are highly
likely to drive Greek voters away from New Democracy and Pasok in the June 17
elections.
The Guardian writes It's payback
time: don't expect sympathy – Lagarde to Greeks.
The International Monetary Fund has
ratcheted up the pressure on crisis-hit Greece after its managing director,
Christine Lagarde, said she has more sympathy for children deprived of decent
schooling in sub-Saharan Africa than for many of those facing poverty in
Athens.
The International Monetary Fund has
ratcheted up the pressure on crisis-hit Greece after its managing director,
Christine Lagarde, said she has more sympathy for children deprived of decent
schooling in sub-Saharan Africa than for many of those facing poverty in
Athens.
In an uncompromising
interview with the Guardian, Lagarde insists it is payback time for
Greece and makes it clear that the IMF has no intention of softening the terms
of the country's austerity package.
Asked whether she is able to block out of
her mind the mothers unable to get access to midwives or patients unable to
obtain life-saving drugs, Lagarde replies: "I think more of the little
kids from a school in a little village in Niger who get teaching two hours a
day, sharing one chair for three of them, and who are very keen to get an
education. I have them in my mind all the time. Because I think they need even
more help than the people in Athens."
"I think they should also help
themselves collectively." Asked how, she replies: "By all paying
their tax."
Asked if she is essentially saying to the
Greeks and others in Europe that they have had a nice time and it is now
payback time, she responds: "That's right."
Jens Weidmann, president of the Bundesbank,
poured cold water on the idea – which is strongly backed by the French
president, François Hollande – and also said financial aid to Greece should be
cut off if it failed to keep to the bailout deal.
Jürgen Fitschen, joint head of Germany's
biggest bank, Deutsche, described Greece as "a failed state … a corrupt
state".
Purposely Inflammatory Statements to
Benefit Syriza
Those statements are not only inflammatory,
but purposely so. Lagarde has to know that her message stating more sympathy to
Africa than patients refused life-saving drugs in Greece is bound to incite
Greeks.
Recall that Antonis Samaras (the head of
New Democracy) and Evangelos Venizelos (the head of Pasok), have promised
voters they will renegotiate the terms.
Greek voters just had that promise yanked
away in no uncertain terms. IMF and Deutsche Bank statements also make German
chancellor Angela Merkel look like a cream-puff with her offer of potential
stimulus efforts.
In contrast to the lies of Samaras and
Venizelos, Syriza leader Alexis Tsipras says the bailout is null and void,
while stating Greece will remain in the euro.
It is had to say with certainty whether his
promise to remain in the eurozone is a purposeful lie as opposed to pure
fantasy, but given there is no provision to kick any country out of the
eurozone, he just might believe it.
Lies and Bluffs
For further discussion please consider
IMF Purposeful Attempt to Incite Greek Exit
The IMF has had enough. It does not want to
deal with a coalition of Samaras and Venizelos given falling revenues in Greece
and no hint of any true structural reforms. Rather, Lagarde wants to drive
Greek voters to Syriza so that Greece can default and the Troika can cut off
all funding in "clear conscience"
All funding should be cut now (in fact
three years ago), but the IMF hopes to absolve itself of blame.
Mike "Mish" Shedlock
No comments:
Post a Comment