Greece – between 3. And 4. Aid package

One last attempt to face realities

The Brussels rape marathon has been over for one day. Greece is soft-boiled. Prime Minister Tsipras was successfully persuaded after 17 hours of wrangling to leave his country’s "save" to let. He stood as the lone supplicant of a down-and-out country against a front of 18 "Donor countries" (some with gross debt problems of their own) as well as ECB and IMF. He wanted to prevent millions of his countrymen from starving, falling ill, becoming homeless, despairing, committing suicide. His declared goal was to end the destructive austerity policy.

Greece - between 3rd and 4th aid package

Image: W. Aswestopoulos

It was foreseeable at an early stage that he had no chance to face the by Schauble, Merkel Co. to resist the thumbscrews invented by. For if he had achieved the desired debt cut, then this inevitably created the danger that other southern European countries stuck in financial debt would also have to pay the Greek ("communist") model to adopt. There had been a high risk of infection. Nothing less than the system question would have been suddenly in the European space. However, Greece’s disciplinarians wanted to avoid this at all costs, especially since Spain is about to hold parliamentary elections.

A success for Tsipras and his Syriza party had inevitably increased the chances of victory for its Spanish sister party Podemos and its charismatic champion Iglesias. And then Portugal? Italy? France? There was a danger of a dam bursting. This was not to be. So Tsipras had to fail. At least they agreed on that. That is why they made the Greek an offer he could not accept without losing face.

Recently, I wrote to friends: "What we are currently witnessing is not, in essence, Greece’s struggle against the EU (resp. the fight of the Syriza government Tsipras/Varoufakis against the EU leaders Juncker, Schulz and Dijsselbloem). It is far more. It is the ultimate fight of big business and its accomplices against Greek-style communism." The battle is decided, the three crude Gs – money, greed and profit – have triumphed.

The Greek drama goes into the next round – details of a poison cocktail

The now crammed 3. Aid package obligates Greece u.a. to the drastic increase of the value added tax and the age of retirement, to the establishment of a trust fund under European curatorship, to the privatization of port and airport and other state property. Only a small part of the proceeds of the sale is to be invested in the country; the much larger part is to be used to secure the debt.

The debt cut necessary for Greece’s reorganization failed, especially due to German resistance. In addition, the Greek prime minister had to promise that the Greek parliament would pass some reform proposals by Wednesday. No time was allowed for a sufficient substantive review by the people’s representatives of the acceptance package, which is extremely important for Greece’s future. It is hard to imagine a more gross disregard for interception bodies. The process makes it clear that the European institutions now regard Greece as a protectorate that only has to implement the will of the protector. The motto is: bird eat or die!

It would be interesting to see what the Federal Constitutional Court would say if the German legislators were accused by auben of such a procedure. The American Nobel Prize winner for economics, Paul Krugman, aptly commented on the actions of the rescuers: "This is no longer austerity, this is sheer vindictiveness and complete destruction of national sovereignty, with no hope of remedy. It is a grotesque betrayal of everything that the European project should stand for. In addition, Sahra Wagenknecht has this to say: "The adoption of the proposed package amounts to the continuation of the fatal poison cocktail of short-term policies and the worsening economic crisis"In recent years, this has destroyed a quarter of Greece’s economic power and increased its debt.

It is not yet certain whether this aid program, which does not deserve its name, will ever become effective. It must be approved by other national parliaments besides the Greek one. The remaining time can be used to look back, to understand and to dare a cautious look into the future.