...
and we haven't even reached the election day
globinfo
freexchange
It appears
that ECB decided that will not buy Greek bonds, after the systemic
banks of the country reported having liquidity problems, only a week
before the crucial national elections. It's important to remind that
the Leftist party, SYRIZA, which is determined to terminate austerity
policies, precedes in all polls.
From ZH:
“Der
Spiegel reports after the European close that ECB QE will not
include Greek bonds due to their low rating... but will see
national central banks buying own-country debt.”
and
“...
following yesterday's report that two Greek banks had suffered
sufficiently material deposit withdrawals to force them to apply
for the unpopular and highly stigmatizing Emergency Liquidity
Assistance program with the ECB, now the other two of Greece's
largest banks have also succumbed to reserve depletion after the
Greek bank run appears to have gone viral. As Greek Capital.gr
reports, now all four Greek banks have requested ELA assistance
from the same ECB president who earlier today is said to have
unceremoniously kicked out Greece from the ECB's QE program.”
|
As
predicted, more than two years ago:
...
the ECB becomes a corresponding Fed in the European area,
“serving” the problematic economies that are excluded from the
bond markets, through the print of new money. Therefore, the
problematic economies will be loaded with more and more debt which
the ECB, i.e. the largest private European banks will hold.
Someone could argue that is not something new, since nations were
facing huge debts in previous years, because they were indebted to
banks through the excessive borrowing from the markets. But in
this case, there is an important difference that makes things much
worse: it is the cruel conditions imposed by the ECB to states
that need to buy money. States that are excluded from markets, are
now trapped within the neoliberal economic empire of the eurozone
and will be forced to follow new austerity measures every time
they need ECB to buy their bonds.
|
Meanwhile,
the banking-media dictatorship in Greece has launched a new
propaganda war against SYRIZA's MP, Rachel Makri this time, who
stated that Greece could "print" up to 100 billion euros in
an emergency situation. The systemic parrots in the mainstream media
and various governmental officials, as well as others from
pro-austerity parties, rushed to blame Makri as being irresponsible,
dangerous, etc. Systemic-friendly trolls flooded internet with ironic
uploads and Samaras' party, New Democracy, made some tv spots in less
than 24 hours, to point the supposed "irresponsibility" of
Marki. Another indication that the system acts under absolute panic.
However, the
reality is that the country does have the possibility to print euros
by itself. In fact, this has been done already by another country,
being under a memorandum program, like Greece.
From the
Irish Independent, date 15/01/2011: “... the
Central Bank of Ireland is financing €51bn of an emergency loan
programme by printing its own money. [...] A spokesman for the ECB
said the Irish Central Bank is itself creating the money it is
lending to banks, not borrowing cash from the ECB to fund the
payments. The ECB spokesman said the Irish Central Bank can create
its own funds if it deems it appropriate, as long as the ECB is
notified.”
(http://www.independent.ie/business/irish/central-bank-steps-up-its-cash-support-to-irish-banks-financed-by-institution-printing-own-money-26614131.html)
Therefore,
the systemic parrots either are lying, or, they should explain why
wasn't allowed to Greece to print its own euros. In any case, we know
the answer: because Greece was chosen to be the "guinea pig" for the
experiment of the most catastrophic neoliberal policies, and this
experiment must be expanded throughout Europe at any cost.
We should
wait to see how the ECB will react after the elections depending on
the result. Under a specific scenario, already mentioned that “...
the ECB will blackmail the government by threatening that will not
purchase government bonds, therefore cut liquidity, in case that
Greece choose a different path towards the reconstruction of the
social state and labor rights, bringing minimum wage at pre-crisis
levels, etc.”, and the only solution in
this case, would be a fast reaction: “In
case that SYRIZA has a secret agenda, and be pressed by the lenders
beyond red lines, it could nationalize the central bank and return to
the national currency, blowing up eurozone.”
(http://failedevolution.blogspot.gr/2014/12/various-scenarios-for-national.html)
Otherwise,
the officials of the European neoliberal economic empire may proceed
to the last measure, which would be to remove the right of the
eurozone countries to produce their own liquidity and be totally
dependent on the ECB. Do they afraid SYRIZA that much? Probably not.
What they afraid, is a domino of a rise of the Leftist parties in
power in many European countries. As the old political system has
been fully neoliberalized and has nothing to offer to the societies
other than absolute destruction, the only way that was left, is
blackmail. Maybe the time has come for the European people to fight
and win the class war.
Read
also:
Comments
Post a Comment