Troika and Greece – colonial treatment and debt servitude

An article published by the English paper The Daily Telegraph on December 10, argues that recent events have rudely exposed the illusion that Greece’s people will submit quietly to a decade of colonial treatment and debt servitude. Ambrose Evans-Pritchard is International Business Editor of The Daily Telegraph. He calls its the way he sees it, and he has seen a great deal. He has covered world politics and economics for 30 years, based in Europe, the US, and Latin America. Excerpts from the article and weblink to the full article.

As matters stand, it is more likely than not that a defiant Alexis Tsipras will be the elected prime minister of Greece by late January. His Syriza alliance has vowed publicly and persistently that it will overthrow the EU-IMF Troika regime, refusing to implement the key demands.

A view has taken hold in EU capitals and the City of London that Mr Tsipras has resiled from these positions and will ultimately stick to the Troika Memorandum, a text of economic vandalism that pushed Greece into seven years of depression, with a 25.9pc fall in GDP, longer and deeper than Europe’s worst episodes in the 1930s.

Mr Tsipras is a polished performer on the EU circuit. He can no longer be caricatured as motorbike Maoist. But the fact remains that he told Greek voters as recently as last week that his government would cease to enforce the bail-out demands “from its first day in office”……

The IMF admits in its mea culpa that Greece needed debt relief from the start. Normal rules were violated, under EU pressure, because the primary goal was to hold EMU together. The assumption was that any hint of debt restructuring for Greece risked setting off an uncontrollable chain-reaction through southern Europe.

“Debt restructuring should have been on the table,” said Brazil’s member of the IMF board, in leaked minutes from a meeting in May 2010. The loans “may be seen not as a rescue of Greece, which will have to undergo a wrenching adjustment, but as a bailout of Greece’s private debt holders, mainly European financial institutions”…..

Europe’s contractionary policies have failed on every level. The region has not regained “escape velocity” since the Lehman crisis, and is now sliding into deflation. Output is still below 2008 levels and has performed worse over the last six years than from 1929 to 1935. Debt ratios are rising across the South.

The centre-Left has proved unable to articulate any critique because of EMU’s political code of Omerta. The once great parties of European social democracy have become grim enforcers of reactionary policies, apologists for mass unemployment.

So it falls to rebels to catalyze the simmering rage. Europe’s leaders may have met their match at last in the ice-cold Mr Tsipras.

see full story here

One thought on “Troika and Greece – colonial treatment and debt servitude

  1. Pingback: Troika and Greece – colonial treatment and debt servitude | Don Sutherland's Blog

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