Greece would not roll back economic reforms; it would continue to run a primary budget surplus; it would pledge to pay its creditors in full. In exchange ...
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How the world sees Greece
Tuesday, February 17, 2015
Greece: Europe's Identified Patient
Wolf's view, stated at the beginning of this editorial, was "The question about the prospects for Greece is not about whether the country will default.
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Tsipras Says Greece Will Not Give In To 'Blackmail' After Talks Break Down
In a combative speech, he signaled little intention of backing down Greece's clash with its euro zone partners, despite a looming financial crisis.
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ECB expected to extend ELA funding on Wednesday
Wednesday’s meeting of the European Central Bank’s board is not expected to bring any nasty surprises for Greece in regard to the expected renewal of liquidity to Greek lenders via the Emergency Liquidity Assistance (ELA) mechanism of the Bank of Greece.
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Investors anxious for approval of fast-track projects
Sportsland SA, owned by two of Greece’s most active entrepreneurs in tourism-related business – Theodoros Vassilakis and Achilleas Konstantakopoulos – is one of a number of firms to have submitted specific business plans and are still waiting for them to be processed by the Ministerial Committee for Strategic Investments (DESE).
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Six in 10 Greeks see situation as getting worse
Six out of 10 Greeks believe the economy will get worse before it gets better, according to the results of a Eurobarometer poll which showed Greeks to be among the most pessimistic in the European Union.
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Truck driver in deadly northern Greece crash sentenced to 10 years
A 39-year-old Romanian truck driver was sentenced to 10 years in prison on Tuesday after a Thessaloniki court found him guilty of a road accident that killed six people and injured another 31 on the Egnatia Highway near Veria, in northern Greece.
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Greek bourse takes talks impasse in its stride
Ranging from major losses (down 4.67 percent) to marginal gains (up 0.20 percent), the benchmark of the Greek bourse reflected the various shift in trader sentiment on Tuesday, a day after another inconclusive meeting of eurozone finance ministers on Greek debt.
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Greece will not hold migrants for more than 18 months
A few days after pledging to shut down migrant detention centers following a suicide at one such facility in Amygdaleza, northwest of Athens, government officials said on Tuesday that undocumented immigrants would no longer be detained for more than 18 months.
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Greece's new left-wing government to ease migrant detention rules
Greece's new left-wing government is promising to overhaul rules for detaining immigrants and close a facility near Athens, in response to criticism from human rights groups over conditions at the sites and the legality of their detention.
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Greece makes concessions under pressure from eurozone
Syriza-led government prepares to seek an extension of a loan agreement but says it will not succumb to ‘blackmail’Greece was showing signs of buckling to intense pressure from its eurozone partners on Tuesday night as it prepared to seek an extension of a loan agreement for up to six months. Faced with a Friday deadline for agreeing to an aid package drawn up by its 18 partners in the single currency, Athens made the first concessions in the game of brinkmanship by admitting it would have to continue accepting financial support when the current bailout expires at the end of the month.Sources close to the Greek government sought to soften the blow of its apparent U-turn by saying it was signing up to a temporary loan agreement rather than a continuation of the existing bailout, which forced Athens to adopt harsh austerity measures and a series of unpopular structural reforms to its economy, including wage cuts, reduced pensions and sweeping privatisations. Related: Greece's debt standoff: the key dates Related: A maverick currency scheme from the 1930s could save the Greek economy | George Monbiot Continue reading...
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Europe is facing economic 'chaos' warns George Osborne as Greek PM insists the country is not willing to compromise during talks over its bailout package
Greek Prime Minister Alexis Tsipras (pictured) today signalled little intention of backing down from Greece's clash with its euro zone partners, despite a looming financial crisis.
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The Real Problem With Greek Austerity; It Works
We've been told, numerous times, that the problem with this austerity in the eurozone, with the burdens that Greece is struggling under, is that the plan ...
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Greece eyes EU loan deal without painful bailout duties
Greece is considering asking to extend its European loan agreement without signing up to the loathed duties of a full-blown bailout as Brussels puts pressure on Athens for a deal, a government source said Tuesday. Greek television reported Athens was seeking a six-month deal. Europe and Greece are racing to come to an agreement and avoid a catastrophic Greek exit from the eurozone, after talks ...
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Greek bail-out: tough negotiations to be continued
For the second time, the finance ministers of the Eurozone have not reached an agreement on how to go on with the Greek bail-out program. But both sides are not far apart, said Gregory Claeys from Bruegel think tank in our weekly “U Talking to Me?” debate. Despite the clashes, trade unionist Bernadette Ségol still […]
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Greece nominates former conservative minister as President
Prokopis Pavlopoulos, 64, is almost certain to secure election by parliament in a process that starts on Wednesday due to his broad appeal
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Greece and eurozone can still reach deal
A lack of trust between Syriza and the eurogroup remains an obstacle
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Greece Bailout Talks Grind To A Halt, Markets Reconsider Possible 'Grexit'
Markets around the world were on edge Tuesday morning after Greece and the European Union were unable to come to an agreement at Monday’s meeting regarding the nation’s funding issues. The collapse of ...
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GLOBAL MARKETS-Euro, stocks recover on hopes of Greek deal
… last-minute deal on Greece. "The costs of a Greek exit (from the euro zone) are so great for Greece … trading. The market recognizes that Greece is fairly isolated ... without much …
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Tsipras to brief Venizelos, Theodorakis on Wed.
At 13:00 the Greek PM will meet with POTAMI leader, while an hour later he will meet with the leader of PASOK
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CNN: 7 reasons why “Grexit” wouldn’t be a total wipeout
Network focuses on furor over whether Greek side will finally reach a deal with its EZ partners
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Greece Poised to Request Six-Month Bailout Extension
Prime Minister Alexis Tsipras’s government intends to make the request Wednesday, the person told reporters in Brussels, asking not to be named as the deliberations are private. Talks are continuing between Greece and its international creditors on the conditions that would be attached to the extension of the loan accord, the person said. Finance-minister level talks broke up on Monday evening ...
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The Guardian view on Greece and the EU: the least worst option
Neither Athens nor Brussels has an interest in Greece leaving the eurozone. Compromise will not solve everything but it would win valuable timeIn the next few hours and days Germany and Greece will either fail to save the European Union from a damaging crisis from which it might not fully recover, or they will agree, as now seems more likely, on one of those messy last-minute deals that are the norm in EU affairs. The hints on the evening of 17 February, in defiance of morning pessimism, were that Greece would in fact apply for an extension of its loan deal. Sensible though this is, the terms will be decisive and in any event would be only a temporary, if welcome, respite to the underlying problem. It would be foolish to assume that it represents a conclusive step back from the brink. The stakes remain too high for easy optimism. The fact remains that the shock of a Greek exit from the eurozone, and perhaps the union, would be huge. There is no provision for leaving the euro and none for leaving the union, either by secession or expulsion. The EU has brakes, which may now be applied, but it has no reverse gear.It can be argued that Greece is a small country and also a rather unusual EU member, a sort of special case. But all the members are in their different ways special cases, and while Greece is indeed a small country, it is a small country that would leave a very big hole. People forget the way in which the retreat from authoritarianism in southern Europe, in Greece, Spain and Portugal, was cemented into place by union membership. They overlook Greece’s special relationship to the European idea, a relationship which, as long as the understanding of the classical world as our predecessor and ancestor persists, will continue to deeply influence Europeans. They overlook what arrangements an excluded Greece, even if it remained an EU member, might cultivate, or have to cultivate, with Russia and China. Continue reading...
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Greek Prime Minister Alexis Tsipras won't give in to 'blackmail' over bailout reforms
Greek Prime Minister Alexis Tsipras said on Tuesday his government would not succumb to “blackmail” and would instead quickly start voting in new laws to reverse bailout reforms.
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A maverick currency scheme from the 1930s could save the Greek economy
The eurozone crisis calls for radical solutions – and one of the most thrilling has been tried and testedCompare the terms demanded of the Greek government to those offered to the banks. Eurozone ministers now insist upon unconditional surrender: a national abasement that makes a mockery of democracy. But when the banks were bailed out, governments magicked up the necessary money almost unconditionally.They shyly requested a few token reforms, then looked away when the bankers disregarded themThe German government, now crushing the life out of southern Europe, merely tickled its own banks. As the New York Times reported, though the corrupt German banking system “required a bailout bigger than the one American banks received”, “there is little appetite for change in Germany because the banking system is so deeply intertwined with its politics, serving as a rich source of patronage and financing for local projects”. Related: Greece set to apply for loan extension as pressure for deal mounts – as it happened This little pot of money kept circulating, enabling Wörgl to repave the streets, rebuild the water system Continue reading...
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Greece's debt standoff: the key dates
Leftist government has a packed schedule of meetings and repayment deadlines as it seeks to win support for an end to relentless cutsThe Greek government faces a a number of crucial meetings and repayment deadlines as Athens wrangles with its creditors over bailout terms. Here are some of the key dates in the weeks and months ahead: Continue reading...
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S&P 500 Just Broke 2,100 For The First Time
U.S. stocks rose, sending the Standard & Poor’s 500 Index to a record, on speculation of a Greece bailout extension while oil prices pared earlier declines and health-care shares rose.
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Greek Communist Party Disapproves Presidential Candidate
The Greek Communist Party (KKE) criticized the choice of Prime Minister Alexis Tsipras to propose Prokopis Pavlopoulos for President of the Hellenic Republic and announced that KKE MPs will vote “present” in tomorrow’s vote. The official announcement issued from KKE headquarters underlined the fact that the candidate has been a Minister in a previous New Democracy government and an MP of the center-right party for many years. It also said that KKE does not believe in the institution of the President of the Hellenic Republic on principle and therefore its MPs will vote “present” in tomorrow’s ballot at the Greek Parliament, meaning that they are not in favor. KKE general secretary Dimitris Koutsoumpas accused Tsipras for “paving the way for a new agreement with the European Union and creditors” and for “exploiting the agony of Greek people to get liberated from the unpopular austerity policies.” According to the statement, “Mr. Tsipras hastens to announce the first legislative policies of the government, which is a “drop in the ocean” compared to all existing policies and Memoranda” and that KKE will immediately ask for their repeal.
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SYRIZA Nominates Prokopis Pavlopoulos for the Presidency of Greece
The former New Democracy Interior Minister Prokopis Pavlopoulos, just moments earlier, was nominated for the Presidency of the Hellenic Republic by Greek Prime Minister Alexis Tsipras. Prokopis Pavlopoulos’ may be elected on the first ballot, which, according to the Greek Constitution requires 180 votes. Apart from the coalition government partners SYRIZA and Independent Greeks (ANEL), New Democracy also expressed support of his nomination. According to Mr. Tsipras, the broadest possible consensus is needed to overcome the country’s difficulties. “We live the birth of a new era. Today, more than ever, unity in society, politics and states is necessary,” the Greek Premier highlighted. Who is Prokopis Pavlopoulos? Sixty-four-year-old Pavlopoulos was born in Kalamata and a student at the Law School of the University of Athens in 1968. In addition, he studied law at Universite de Paris II on a scholarship by the French Government, and was awarded his postgraduate studies Diplome d’ etudes approfondies (DEA) in 1975 and his doctorate in Public Law in 1977 with honorable mention. From 1978 to 1979 he served his military service in Greece. He was elected a Lecturer at the University of Athens in 1980 and was promoted to Reader in 1981. In 1983 he became Assistant Professor and was later promoted to Associate Professor in 1986. In 1989, he was elected Professor of Administrative Law. In 1974, he was appointed as secretary of the Greek President Michail Stasinopoulos. He first served as an Alternate Minister for the Presidency from November 1989 to April 1990 and was also the spokesperson of Xenophon Zolotas all-party government. From 1990 to 1995 he was the legal adviser of President Konstantinos Karamanlis. He was elected as a State MP for the New Democracy party in the 1996 parliamentary election. He was appointed as New Democracy’s Press and Information Spokesman by New Democracy’s President Miltiadis Evert on April 1996. In 2000, 2004, 2007, 2009 and 2012 he was nominated and elected MP representing the Athens First Electoral Constituency. He became New Democracy’s Parliamentary Spokesman in April 2000. Following the March 2004 general elections — won by New Democracy — Pavlopoulos became Minister for the Interior, Public Administration and Decentralization in the new government of Prime Minister Kostas Karamanlis on March 10 2004. Following the 2007 general elections, won again by New Democracy, the Interior Ministry merged with the Ministry of Public Order, of which Pavlopoulous became Minister. Prokopis Pavlopoulos is a member of New Democracy’s Central Committee and in 2004 he was designated as a member of the party’s Political Council as one of seven MP candidates. He is married to Vlassia Pavlopoulou-Peltsemi and has two daughters and one son.
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Greek Banks Drop After Eurogroup Meeting
Greek banks dropped in Athens Stock Exchange (ASE) after the meeting between the Eurozone’s Finance Ministers ended abruptly when Greece refused to sign a bailout program extension. According to Bloomberg, this raised concern among creditors who “may need to introduce controls to avert capital outflow.” A few minutes before 11:00 am on Tuesday, the FTSE/Athex Banks Index dropped by 9.6%, followed by Piraeus Bank SA with a drop of 9.3% and the National Bank of Greece (NBG) that dropped 6.7%. At the moment, Greek banks are relying on funds provided by the European Central Bank (ECB). However, according to economists at Barclays Plc including Antonio Garcia Pascual and Thomas Harjes, the Emergency Liquidity Assistance (ELA) will not be provided to Greece if the country does not reach an agreement with its European loan partners. The Eurogroup meeting did not result in any sort of compromise or agreement, therefore creditors are concerned that ECB will stop providing liquidity to Greek banks. In this case, capital controls will need to be set up in order to avoid “funds fleeing Greece,” while Greek banks will need to implement new rules in order to regulate cash withdrawals, noted the economists.
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Greece bristles at bailout ultimatum
Both sides in the debate over Greece's bailout program have been careful to weigh their words lest they upset markets, but the tug-of-war has become increasingly acrimonious.
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Greece's ultimatum and hackers stole millions from banks — 5 things to know today
U.S. stock futures are under pressure this morning after Greek bailout talks stalled late Monday, raising fears ahead of the expiration of Greece's ...
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Bounced Checks and Bills of Exchange Show Decrease in Greek Market
An issue that has been plaguing Greece for a long time is slowly and steadily being regulated. The increased number of bounced checks and unpaid bills of exchange (BOE) that have been circulating the Greek market has significantly dropped. Based on data released by Tiresias Bank Information Systems, the total of bounced checks in January 2015 amounted to 14.9 million euros, marking a significant decrease compared to the total of 32.9 million euros recorded in January 2014. Meanwhile, BOE amounted to 7 million euros, compared to 8.75 million last January. Overall, a total of 1,101 bounced checks were stamped in January 2015, showing 46.35% decrease compared to the same month in 2014 (2,052 bounced checks), while 4,114 BOE were recorded, showing a 25.98% decrease compared to January 2014 (5,558 BOE). Tiresias was initially founded as a non-profit organization. Since September 1997, it operates as a joint stock company. It specializes in the collection and supply of credit profile data of corporate entities and private individuals. The company also develops inter-banking information systems and provides information and communication services.
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Greek Foreign Minister and Chinese Ambassador Discuss Athens-Beijing Cooperation
The “open” issue of Piraeus Port Authority‘s privatization as well as the wider Chinese interest to strengthen cooperation with Greece was mainly tabled during yesterday’s 50-minute-long meeting between Greek Foreign Minister Nikos Kotzias and Chinese Ambassador in Athens Xiaoli Zou. The direct Chinese interest regarding the new government’s plans on the Piraeus Port Authority privatization has yet again been confirmed in this meeting, as Beijing and Cosco in particular have wider plans for the country’s largest port. According to Greek media, Kotzias appeared reassuring toward the Chinese Ambassador regarding his country’s interests in Greece, although he repeated the Greek government’s sensitivities in matters of social rights and industrial relations, as such issues have arisen in the past due to some of Cosco’s employment practices. The meeting was reportedly held in a good spirit and Zou invited Kotzias to visit the Chinese capital as soon as possible, as it is considered a preparatory step to the upcoming visit of Greek Prime Minister Alexis Tsipras. Athens has prioritized the development of its relation with Beijing, particularly in the commercial and financial sector, while the enlargement of the Suez Canal that will allow a larger number of merchant ships to reach the Mediterranean has increased the Chinese interest, aiming at the creation of a products “corridor” to Europe via Greece.
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Who's Extorting Whom? It's All About Coercion
The Economist's Feb. 6 cover displayed the Venus de Milo statue pointing a revolver, with the headline "Go ahead, Angela, make my day." In the editors' upside-down world, Greece is threatening Europe, or at least Germany. Really? On Monday, Feb. 16, European officials "handed Athens an ultimatum: Agree by Friday to continue with a bailout program or risk the funding that the country needs to avoid a default," The New York Times reported. Then there is Wolfgang Schäuble, Germany's finance minister and die-hard supporter of the failed austerity policies that brought Greece six years of depression. On Feb. 11, according to the Financial Times, he "hinted darkly that a Greek plan to leave the bailout at the end of the month could draw a harsh reaction from financial markets." "I wouldn't know how financial markets will handle it, without a programme -- but maybe [Greek Prime Minister Alexis Tsipras] knows better." Schäuble knows very well that it is not "the markets" that will decide how much capital flows out of the Greek banking system if it fails to renew the troika program that expires Feb. 28. He knows that it is the actions of the European Central Bank (ECB) that will determine how the markets will react. His transparent threat is like that of a gangster shaking down a store owner, pretending not to know who is responsible for the vandalism that happens to afflict businesses that don't make their payments to the mob. And it's not just payments that he is shaking down Greece for but a commitment to transform the Greek economy into something that voters never wanted. Among the "reforms" that Schäuble is insisting upon are measures that will further weaken the bargaining power of labor. These include moving away from industry-wide collective bargaining to negotiation at the firm level, making collective dismissals easier, and legalizing employer lockouts (currently illegal in Greece). Many observers don't seem to get it, but this is all about the European authorities using coercion to accomplish political as well as economic goals. That's why these people have not been content to just rely on their enormous bargaining power and the threat of economic dislocation that would ensue if Greece is forced out of the euro. Instead, they have been proactive: On Feb. 4 the ECB announced that it would no longer accept Greek government bonds as collateral. This was a deliberate effort to crash Greek financial markets and increase capital flight so as to force Syriza to capitulate as soon as possible. There appear to be important divisions within the troika. According to press reports, European Commission President Jean-Claude Juncker has been challenging German Chancellor Angela Merkel on the issue of austerity. In short, Syriza, having chosen to stay within the eurozone, has had little choice but to try and make its struggle Europe's struggle, in order to force a change in eurozone-wide policies. Since austerity has failed miserably not only in Greece but in almost all of the eurozone, this is possible -- and is some European authorities' greatest fear at the moment. Their other fear, of course, is that Greece will be forced out of the euro. It is commonly stated that this could cause some kind of European financial collapse, but that appears unlikely. Much more likely is that Greece, after an initial financial crisis, would recover much faster than its neighbors, and others would also want to leave. That is another reason that coercion is such an important element here. To be effective, coercion must go beyond the present crisis and present the threat of chaos even after the (presently still unlikely) event that Greece would leave the euro. (The mafia is threatening not only you but your family after you are killed.) That was part of the threat to Argentina in 2001 and into 2002, even after its default and devaluation. The consensus opinion, which included virtually all of the major media, was that Argentina's troubles were just beginning and there would be years of suffering ahead. As it turned out, Argentina suffered a severe financial crisis and recession, but only for three months. Freed from the IMF's austerity policies, it then began a robust recovery in which GDP grew by 63 percent over the next six years. Greece would appear to be much better situated for an economic recovery outside the eurozone than Argentina was after its devaluation and default. Argentina got no outside help; on the contrary, multilateral institutions drained money from the economy in 2002. Greece might not need any outside help, since it is running a current account surplus. But if it did, according to press reports, Russia (with $380 billion in reserves) and China (with $3.9 trillion) have offered assistance. The amounts of money that Greece might need to borrow would be trivial for China, and pretty small for Russia too. So European coercion would come into play in the event of an exit too. The European authorities could try to block trade credits (this was another threat to Argentina) and otherwise injure the Greek financial system. They could try to pressure China and other countries not to provide loans. But it is unlikely that they would succeed in isolating Greece, and it is not clear that they could get political support in Europe for this kind of vindictiveness. For now, at least, the coercion does not seem to be intimidating the Greeks. Finance Minister Yanis Varoufakis made it clear on Monday that ultimatums would not be accepted. Tsipras' approval rating is running at 75 percent, including 42 percent of those who voted for the then-ruling party in the January election. This is a triumph of democracy for Greece, and for Europe.
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Appeal to Europe's Leaders: Give Greece a Chance
This letter was sent to European leaders and is published exclusively by The WorldPost. Athens, February 14, 2015 ATHENS -- I write to you as a former Prime Minister of Greece, at a critical juncture for both the EU and my country. The primary aim of this letter, is to be supportive of a difficult process and negotiation, at a time when Greece and the Greek people, represented by its newly elected government, are striving to achieve the best, most appropriate, solutions within our common European family. It is near five years now since we jointly took the decision on Greece's access to EU/IMF funding, contingent on an adjustment program. Huge efforts, major sacrifices by the Greek people have been key to major adjustments in our economy. Greece has a newly elected government with a clear mandate to reach a new agreement with the EU. Antics aside, it would indeed be a real waste to fail now. Five years later and (hopefully) five years the wiser, I believe it is possible that Greece and the EU find an honest and mutually acceptable compromise, a way forward, and avoid a train crash. A way forward should build on both the successes of the adjustment program but also seriously take into account the reasons for its shortfalls. And this assessment should be the basis on which the EU and the newly elected Greek government develop a new common approach in this final phase of the adjustment program. What were the successes? 1) Greece avoided the enormous economic and social costs of a bankruptcy 2) The EU/Eurozone contained a wider crisis, albeit belatedly. 3) Progress on creating the ESM, the beginnings of a banking union, a stronger monitoring of Member States and banks, a stronger role of the ECB in intervening in the volatile bond markets, have all contributed to a more stable union. 4) Greece has achieved a primary surplus from a primary deficit of 10,5 percent of GDP (15,7 percent of GDP general government deficit) in 2009. This is a record adjustment for any OECD country. 5) Only a few months earlier, the bond markets felt assured that Greece would soon be able to access the markets. The spreads on Greek debt had fallen close to sustainable levels. Interest in investment in the Greek economy was apparent. 6) The OECD has Greece in the #1 position concerning its reform efforts after the 2008 financial crisis. This record performance must be tempered by the reality that Greece was way behind many other countries in reforms, and needs to continue the reform effort. What have been the shortfalls of this adjustment program? 1) The EU took too long to realize that this was not simply a Greek problem but was also a systemic problem of the euro and the financial system. In particular, Greece has been asked to "put her house in order" but has also been constrained by the wider issues in the Eurozone. Let me highlight a few of these: - As the crisis developed, the bond markets saw two euro currencies not one. That belonging to the periphery and that belonging to the core. This affected our banking system, our borrowing capacity, our growth potential and in the end created strong headwinds as we tried to adjust. - While the financial crisis took place in 2008, we still are trying to deal with problems of our banking system. Banks are still wary of investing in the real economy because of this. - Major adjustment and reforms are being asked of countries while at the same time the EU pursues a policy of austerity rather than of investment (as has been done in the U.S. and China). - Competitiveness of European countries cannot be seen only as an effort by each individual nation alone. Measures to make our single market work as well as serious investment in our shared European infrastructure and human capital is of paramount importance. 2) The required pace of fiscal adjustment led to a deep deflation which in turn made reforms harder to implement. Deflation has made recovery more difficult and has exacerbated the debt problem. 3) The continued discussion of Grexit undermined the adjustment program as it stalled any foreign or domestic investment, stopped banks from lending, companies from borrowing and created a huge deposit outflow to "safer" banks outside Greece, or to other assets. 4) While tax collection is of paramount importance in Greece, tax havens, offshore companies (in the EU or beyond) and tax competition between EU member states has heavily undermined the Greek state's capacity to capture tax evasion. This issue has been tabled by Greece in the European Council as early as 2010. 5) The troika believed that internal devaluation would be enough to jump start a more competitive Greece. But the real impediments to competitiveness (issues such as a highly centralized, bureaucratic state, overly legalistic micromanaging of the economy, an inefficient public sector, a political system beholden to powerful interests, a justice system which is painfully slow in meting our justice, an inefficient tax agency, an arcane education and training system) were never fully addressed. While there was an initial dynamic and implementation of important reforms, time constraints and lack of expertise in the public sector were impediments. Furthermore as time went on, as governments changed, the political will to tackle these issues -- head on -- waned. It is crucial the above questions be addressed during the next phase of our country's program. While the adjustment program did include important reforms, in practice, the troika and our creditors, prioritized fiscal austerity. Fiscal responsibility is of great importance. However it alone does not deal with the underlying causes of the crisis. It deals only with the symptoms of an ailing system, political and economic in Greece. One which continues to be in dire need of restructuring. 6) The fiscal adjustment we have accomplished was done much less through reform, i.e. reorganizing the management of our country, public sector and economy, and more through cuts and taxes. However this has placed an inordinate burden on the middle class, it has created an army of young unemployed and many households are under the poverty line. SME's are in great difficulty to restructure and become more competitive. The outlines of a renewed adjustment program are now being discussed. Allow me, however, from my experience, to highlight the basic elements of what I see as necessary. The burden of fiscal adjustment need be lighter. This can be done particularly through restructuring the burden of the debt. This is important for two reasons: First of all this would allow us to use much of the surpluses we are now producing for growth and social programs for the needy. Secondly this would imbue confidence in the markets that the heavy debt burden would not be an impediment to adjustment and growth. These concessions from our creditors should be matched with a renewed determination on behalf of the government for major reforms in Greece. These reforms should be owned by the Greek people. I personally have called for a "Greek Plan" to change the country. One owned and implemented by Greece. This would be a guarantee that the Greek economy and country is on a path of real sustainability. I believe that this Greek Plan (with the package agreed by our partners and creditors) needs to be put to a referendum. One that would allow both the EU to have a clear guarantee that these reforms will be implemented -- no matter what or who is in government -- while this would also guarantee the Greek ownership of the program. Ownership: A crucial element in its successful implementation, a lesson well learnt. Of course the decision to go to a referendum is a sovereign one of the Greek government and of the parliamentary majority. But I do believe it will contribute to consolidate and validate the agreement in the most effective and democratic way. I need not stress that it is of utmost importance that we find a way forward. I personally know how difficult this transition has been for Greece and its citizens, as well as the important contributions made by European institutions, governments as well as the citizens of our European Union. Five years of efforts from all sides need to be consummated into a success. We owe this to our citizens and to the future of our Union. A Union being tried by populism, xenophobia and a resurging nationalism today needs to show that together we can prevail over complex and difficult challenges of our times. It is in this spirit I outline my thoughts on a way forward, a framework which provides for a win-win scenario between Greece, the new Greek government and our EU and international partners. Warm greetings, George A. Papandreou Former Prime Minister President of Socialist International President of Movement of Democrats Socialists
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Speaking Truth to Power in Turkey: An Interview with Ekrem Dumanli
Last December, veteran Turkish journalist, newspaper executive and playwright Ekrem Dumanli made headlines after he was detained by Turkish authorities on charges of "forming, leading and being a member of an armed terrorist organization." Dumanli's supporters maintained that his only real crime was pressing for greater transparency and accountability from the government. Dumanli's appreciation for the importance of a free press has deep roots. Having worked for the Culture and Art Desk of the daily Zaman through most of the 1990s, he earned a Masters Degree from Emerson College in Boston, before returning to Turkey in 2001 to helm Zaman as its editor-in-chief. Through his vision and guidance, the newspaper's circulation grew, increasing from 150,000 to a million readers within a decade. Dumanli's influence has not been overlooked. In 2009, he earned a place on a list complied by the Royal Islamic Strategic Studies Centre and published by Georgetown University of the world's 500 Most Influential Muslims. Such prominence has come at a price. On December 14, 2014 he was among a number of journalists rounded up in government raids on media outlets. Despite the seriousness of the allegations against him and the dramatic way in which he and his colleagues were taken into custody, five days later he was released due to lack of evidence. I first became aware of the situation after Turkish protesters connected government repression in Turkey with the hash tag "We can't breathe". They were linking their efforts with the Black Lives Matter social media campaign related to the police killings of Eric Garner and Michael Brown in the United States. After his release, I had the opportunity to interview Dumanli with the hopes of shedding further light on what's happening in Turkey with regards to the freedom of the press, state of democracy, and the Hizmet movement. His words reaffirm the need for us to remain vigilante concerning threats to democratic practice both at home and abroad. Williams: What is the reason for your recent arrest? What were you accused of? And why were you released? And as you are not the only media member to be arrested, what do you think is the motivation behind all of these arrests? Dumanli: I was taken into custody in connection with two columns and a news report published in my newspaper. It was claimed that five years ago we published stories and articles about a pro-al-Qaeda organization, setting in motion a police investigation against this organization. Of course, this claim is wrong in its entirety. The police chief who supervised the police operation against that organization is now a member of Parliament from the ruling Justice and Development Party (AK Party). Then-Interior Minister Muammer Güler, who was previously Istanbul governor, had held a press conference about that police operation. I was released because the evidence against me consists of two columns and a news report. And I wasn't the author of those articles, and the articles didn't have any incriminating content. The real aim is to intimidate us, preventing us from doing journalism. Williams: This is not the first time that media members have been arrested in Turkey. In fact, Turkey ranks very high in the world in the number of arrested and jailed media members. Why do you think this is so? What has been your newspaper's position regarding those arrests that are not related to your organization (or to the Hizmet movement)? Dumanli: Never before had the police raided the headquarters of a newspaper in order to detain its editor-in-chief. It was a daring move and intended to scare everyone. In the past, there had been other journalists who were detained and arrested, but there was specific, concrete evidence for the charges against them. Turkey saw numerous military coups in the past. Sadly enough, businessmen and media outlets collaborated with the junta during the coups. During the investigation into Ergenekon -- a clandestine organization nested within the state trying to overthrow or manipulate the democratically elected government -- we nurtured certain doubts. We hesitated, wondering if there was such a collaboration as was the case in 1960, 1971, 1980, 1998 and 2007. It is wrong to assume that this hesitation of ours attests to our lack of concern for freedom of the press. Unfortunately, there is a long list of concrete examples showing how the media shamelessly collaborated with the junta. Williams: On that note, what is the particular relationship between the Hizmet movement and the state (the current one, or previous ones)? Zaman, for instance, is accused of both being pro and against the state within the last decade. What is your take on these criticisms? Dumanli: The Hizmet movement existed even before the AK Party was established. The AK Party was founded in 2002, while Hizmet has been around since the 1960s. The Hizmet movement lent support to many political parties before the AK Party, but this support was contingent upon democratic moves. This attitude continued after 2002 as well. But when the AK Party relinquished its devotion to democratic reforms and grew more repressive, the Hizmet movement withdrew its support. It could do so because its support for the AK Party was a relationship based on mutual interests. If the Hizmet movement continued to lend support to the AK Party even after the party's reform policy changed, this would damage its prestige. Williams: Although you brand the latest government crackdown of Hizmet-related institutions and individuals, including yourself and Zaman, as stemming from a larger problem of the current government's take on democracy, civil rights and free speech, it seems like most, if not all, of the arrests have been against those who are involved with the Hizmet movement. On what grounds do you suggest that the Turkish government's recent activities are not limited to the Hizmet movement and that they can spill over to other groups and individuals? Dumanli: The picture is quite clear: hundreds of journalists lost their jobs. These journalists are from various ideological camps and are in no way connected to the Hizmet movement. If it had been all about tension between the AK Party and the Hizmet movement, then former Editor-in-Chief of the Milliyet newspaper Derya Sazak and seasoned journalist Hasan Cemal would not have been dismissed. A few months ago Editor-in-Chief of the Hürriyet newspaper Enis Berberoğlu was forced to resign. Last week the police raided the Cumhuriyet newspaper and took a copy of the unpublished newspaper and gave it to the prosecutor. The bans on Twitter are still in force, and some journalists are accused of being members of a terror organization in connection with their tweets. It follows that it is a problem that concerns the entire media sector... Williams: Why do you think institutions such as Zaman -- related to the Hizmet movement - have been treated as threats repeatedly in the last few decades? I find it remarkable that the Hizmet movement is being constantly accused of similar crimes by different institutions, such as the army, media outlets, governments, etc., continually in the last three decades in Turkey. In other words, what does the Hizmet movement do to attract all these attacks and criticisms? Why do you suggest that the Hizmet movement should be treated as innocent? Dumanli: The Hizmet movement is a civil society organization. Lack of its attachment to the state is a source of concern for those who are at the helm of the country. Unfortunately, the Turkish state tends to nurture unfounded suspicions about independent civic organizations. The current ruling party has established a number of associations and foundations that are directly attached to the government. And they call it civil society. Of course, this is ridiculous. The Hizmet movement has been conducting training activities for decades. The people who graduate from the schools run by the Hizmet movement get a job in the private or public sector of their own volition. However, the things these people do in their professional life independently of the Hizmet movement are attributed to the movement. Our public authorities have always disapproved of the independence of the Hizmet movement, and they now try to establish a defensive mechanism by putting the blame for anything they don't like on the movement. Williams: As you describe the Hizmet movement to be similar to the American civil rights movement in your Washington Post op-ed, where do you locate the Hizmet movement in Turkey's decades-long struggle of balancing the secular-state establishment and civic engagement, which seem to be heavily preoccupied with the discourse of coups d'état? Can Turkey's democracy ever allow its citizens to have organized civic engagement without being accused of overthrowing the state? Dumanli: In 1994, the Hizmet movement made a public statement stressing that there is no turning back from democracy. Radical Islamist groups had harshly reacted to this statement. Fethullah Gülen met with Greek Orthodox Patriarch Bartholomew on April 6, 1996, to promote inter-religious dialogue. In 1998, he paid a visit to the pope in Rome. The support he lent to the Alevi community's efforts to open up cemevis -- cultural and religious centers for Alevis -- was criticized by certain Islamic groups. The Hizmet movement has been supporting Turkey's bid to become a member of the European Union. Such moves by the Hizmet movement bother certain groups. Therefore, the Hizmet movement suffered from black propaganda. But the Hizmet movement's contribution to democracy is so precious that we should face up to those pressures... Williams: Why do you think these arrests of Zaman & STV staff did not attract larger and more widely supported criticism by other groups in Turkey? It seems like the Hizmet movement is left alone in its struggle with the current government. Would you agree with this assessment? Dumanli: Well, I have certain reservations. As a matter of fact, people from diverse social groups showed up during the protests outside the newspaper's headquarters and the courthouse to support us. Dozens of intellectuals from different ideological camps published a statement condemning our detention. In another statement intellectuals called on the ruling party to return to democracy, and this statement was published in eight newspapers. Mr. Erdoğan grew angry with these statements and threatened those intellectuals. We should analyze the lack of institutional support from the media groups correctly. They are afraid, and they are under duress. The reactions could have been stronger, but I think people are concerned about pressures and they try not to show any attitude that might anger the ruling party. Yet everyone knows that the current pressures apply to everyone and show no sign of abating. That is, those who keep silent today will face the same pressures tomorrow. Media bosses have businesses in other sectors as well, and they see themselves subordinated to the government in connection with those trade relations, and they opt not to raise objections, but individual journalists maintain their struggle. Moreover, the social networking sites are heavily used in the effort to defend freedom of the press. Williams: It seems like all of your non-Turkish interviews are treated as treason and a call for international pressure on the Turkish government. How do you interpret this? What do you think about Turkey's relations with the international world in light of these recent developments? Dumanli: Words like "treason" are readily used from the arsenal of black propaganda to cause repression in the country. They know that I am a journalist with 20 years of experience and that I have never had any connection with any unlawful act. The Zaman newspaper has been in publication for about 30 years, and it has never been accused of involvement in any unlawful affair. The purpose of this black propaganda is to silence us. Of course we will turn a deaf ear to such nonsensical claims, and we will never keep silent... The Turkish government has isolated itself from the outside world, making the country lonelier in the international arena. Due to the government's misguided policies, there is virtually no country that is friendly with Turkey. We have problems even with the administrations of some countries, although we are friendly with their people. I hope our country changes its course back to the EU with a rational foreign policy and a democratic domestic policy. Then, fundamental rights and freedoms will be back on the right track...
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Greek PM Announces Presidential Candidate
Greek Prime Minister Alexis Tsipras announced Prokopis Pavlopoulos as the presidential candidate of the coalition government. Pavlopoulos, who is a centre-right moderate, served as Interior Minister between 2004 and 2009 and was likely nominated for his criticism of the bailout agreement, daily Kathimerini reports. Tsipras, who announced his decision to the SYRIZA parliamentary group on Tuesday, justified his choice with the need for political and social consensus in the country. It was precisely the failure to elect a president at three occasions in December, which led to the early parliamentary elections in January that were won by SYRIZA. It remains unclear whether the coalition partners from Independent Greeks are to support Pavlopoulos at the first round of voting, which is scheduled to take place on Wednesday evening.
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Eurozone Turmoil: Is This the Day of Reckoning for Greece and Europe?
Longstanding economic imbalances between North and South seem to finally be approaching a breaking point.
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Greek Bureaucracy, Not Just Austerity, Is an Economic Drag
Many business owners say relief from austerity measures imposed by foreign creditors will not be enough to reinvigorate growth.
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To Potami nominates professor Nicos Alivizatos for president
To Potami on Tuesday nominated Nicos Alivizatos, a professor of constitutional law, as a candidate for Greece's president.
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Greece is not the only Country with an End of February Deadline
EU_Flag.jpg Home Page News Page There's Always the Last Minute The market appears to be taking in stride the latest setback in negotiations over Greece. The euro has recouped all the ground lost in thin markets late yesterday when the Euro group discussions broke down. Each side has their inviolable principles, and yet some compromise has to be found. It might not be possible to do so on the finance minister level, but may require another heads of state gathering to break the logjam. The market appears to be taking in stride the latest setback in negotiations over Greece. The euro has recouped all the ground lost in thin markets late yesterday when the Euro group discussions broke down. Each side has their inviolable principles, and yet some compromise has to be found. It might not be possible to do so on the finance minister level, but may require another heads of state gathering to break the logjam. See Also links url: http://www.economywatch.com/features/Looking-Beyond-the-Economic-Impact-of-a-Greece-less-EMU.02-09-15.html Title: Looking Beyond the Economic Impact of a Greece-less EMU See Also type: Reference read more
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Greece rejects 'blackmail' in eurozone debt deal row
European ministers raised the pressure on Greece to accept a last-minute debt deal on Tuesday as the radical leftist government
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Church meets with Greek industry reps to boost religious tourism
Representatives of the Church of Greece’s Holy Synod and of the Hellenic Association of Travel and Tourism Agencies (HATTA) met last week
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‘Market strategy of isolating Greece worked,’ says Commerzbank strategist
Greece’s bonds fell after talks between its newly elected government and euro-area finance ministers broke down
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Prokopis Pavlopoulos, Greek presidential candidate with compromised past
Prokopis Pavlopoulos, who was nominated for the Greek presidency on Tuesday, is a high-profile politician whose career has been tainted by controversy.
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ECB weighs pulling plug on Greek banks
But, according to two people familiar with the matter, the 25 members of the governing council are set to seriously review whether Greek banks can ...
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Will Not Compromise with Eurozone: Greek Prime Minister Tsipras
A combative Greek Prime Minister Alexis Tsipras said today his government would not succumb to blackmail from its euro zone partners and was in no hurry to reach a new debt agreement.
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Greeks have two presidential candidates: Pavlopoulos & Alivizatos
Nobody can claim, he has a dull moment in Greek politics. Hardly had Prime Minister Alexis Tsipras nominate the Presidential candidate on Tuesday afternoon, one of the opposition parties, To Potami announced its own favorite. In a parliament that did not manage to elect the President in December and took […]
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Greece to ask for loan extension
Greece intends to ask for an extension of its loan agreement with the euro zone on Wednesday, a source in Brussels said, distinguishing this from the country's full bailout program. U.S. stocks initially turned positive on the report, but later went back ...
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