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Everyone is abuzz with an interview given by Belgian Financial Minister Didier Reynders to French newspaper La Tribune on the crisis in Greece.Courtesy of Yahoo Translate, here are some of the key points. You can see why it’s raising eyebrows.
- If Greece goes, it would be like Lehman. That’s a common cliche, but then he lists the potential contagion fallout: “If Greece were the first country to be lacking, the glances would turn then worms of other countries like Ireland, Portugal, Spain, Italy, perhaps Belgium but also France, when one sees his level of deficit and debt. One does not know where the contagion would stop…”
- Greece’s infamous lying about its statistics have been known since the beginning! “As of the entry of Greece in the euro area in 2001 one knew his false statistics. I chaired the European Union at that time. Europeans are thus to some extent persons in charge of the situation.” Translation: The situation in Greece is the fault of the rest of Europe, thus the rest of Europe should pay.
- Why banks can’t be forced to take haircuts: “I share the concern of making take part the banks, the insurance companies and the pension funds with the voluntary effort but manner. One can make pressure on them because the States are shareholders in many financial institutions but one should not go until their imposing their participation. To make pay the banks, it is to make pay the savers who have their money in these banks. In light: everyone. However, if they are forced, it will be difficult to turn over to see them and require money for the future financings. Then, it would be dramatic to go to enrich the speculators again and to penalise the partners financial institutional who play the game by lending money and by keeping it until maturity”
This is basically pure, pro-euro ideology. He goes onto say that there should be no aspect to the loans that’s at all remunerative to European taxpayers. The entire goal should be to get Greece back on its feet over several years.
Since core European countries will collapse if Greece collapses, and since core European countries aided and abetted the Greek lies, a generous bailout is what’s necessary.
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