Skip to main content

Varoufakis unleashes multiple attacks against the EFD/IMF mafia


After another report, this time by the IMF's Independent Evaluation Office (IEO), exposing IMF's lethal "mistakes" who led to the destruction of national economies, it was confirmed that "technical expertise" of the Fund not only used by the European Financial Dictatorship officials to save their currency and banks, but also to finish the Greek experiment in order to expand it throughout eurozone.

From Telegraph :

The International Monetary Fund’s top staff misled their own board, made a series of calamitous misjudgments in Greece, became euphoric cheerleaders for the euro project, ignored warning signs of impending crisis, and collectively failed to grasp an elemental concept of currency theory.

This is the lacerating verdict of the IMF’s top watchdog on the fund’s tangled political role in the eurozone debt crisis, the most damaging episode in the history of the Bretton Woods institutions.

[...]

The report by the IMF’s Independent Evaluation Office (IEO) goes above the head of the managing director, Christine Lagarde. It answers solely to the board of executive directors, and those from Asia and Latin America are clearly incensed at the way European Union insiders used the fund to rescue their own rich currency union and banking system.

[...]

The report said the whole approach to the eurozone was characterised by “groupthink” and intellectual capture. They had no fall-back plans on how to tackle a systemic crisis in the eurozone – or how to deal with the politics of a multinational currency union – because they had ruled out any possibility that it could happen.

[...]

The IMF persistently played down the risks posed by ballooning current account deficits and the flood of capital pouring into the eurozone periphery, and neglected the danger of a "sudden stop" in capital flows.

[...]

While the fund’s actions were understandable in the white heat of the crisis, the harsh truth is that the bailout sacrificed Greece in a “holding action” to save the euro and north European banks. Greece endured the traditional IMF shock of austerity, without the offsetting IMF cure of debt relief and devaluation to restore viability.

A sub-report on the Greek saga said the country was forced to go through a staggering squeeze, equal to 11pc of GDP over the first three years. This set off a self-feeding downward spiral. The worse it became, the more Greece was forced to cut – what ex-finance minister Yanis Varoufakis called "fiscal water-boarding".

[...]

The IMF thought the fiscal multiplier was 0.5 when it may in reality have been five times as high, given the fragility of the Greek system. The result is that nominal GDP ended 25pc lower than the IMF’s projections, and unemployment soared to 25pc instead of 15pc as expected.

[...]

The injustice is that the cost of the bailouts was switched to ordinary Greek citizens – the least able to support the burden – and it was never acknowledged that the true motive of EU-IMF Troika policy was to protect monetary union. Indeed, the Greeks were repeatedly blamed for failures that stemmed from the policy itself. This unfairness – the root of so much bitterness in Greece – is finally recognised in the report.

On the occasion of this new report which puts the final nail to the coffin of the IMF reliability, Greece's former Minister of Finance, Yanis Varoufakis, unleashed a fierce attack against the EFD/IMF mafia on twitter:







Recall that Varoufakis was one "barrier" that had to be removed according to the EFD officials. As Paul Mason wrote already since May 2015:

In the script according to the eurozone, the expected ending is: Syriza splits; finance minister Varoufakis makes good his pledge not to sign a surrender and resigns. A government of the centre-left forms, with Alexis Tsipras now allied to the centrist Potami party and with tacit support from a liberal wing of the New Democracy party. Debt relief happens, but on the terms dictated by the lenders, and Syriza survives to complete its mutation into a centre-left social democratic party.

Also, the Greek opposition proposed recently an Examination Committee to investigate the causes behind the introduction of capital controls in the summer of 2015, the third bailout agreement and the need for a new bank recapitalization: “New Democracy’s proposal calls for the formation of an Examination Committee to investigate the causes behind the introduction of capital controls in the summer of 2015, the third bailout agreement and the need for a new bank recapitalization. According to a report in major Greek newspaper Ta Nea, the main opposition party will also call for an investigation of “Plan X” that former Minister of Finance Yanis Varoufakis composed, should Greece had been forced out of the euro zone, and Mr. Galbraith revealed in a book recently.

Meaning that the Greek opposition, completely devoted to Troika's neoliberal policies, wanted to "crucify" Varoufakis because he tried to build an emergency plan in case that Greece's creditors would put the country in the corner as they eventually did through the financial coup in summer 2015!

Of course, the opposition miraculously "erased" all the previous years since 2010, marking the most devastating period for the Greek economy under the New Democracy - PASOK coalition government that implemented the IMF policies of destruction. It didn't bother, as expected, to request an Examination Committee for that period.

Related:



Comments

Popular posts from this blog

Trump's tariffs: A unique opportunity for BRICS and the Global South to fully escape from dollar tyranny

globinfo freexchange   Does Trump know what he is doing? Well, yes and no. While many interpretate his latest move, mostly as an attempt to halt China, his main goal is to give the final blow to the neoliberal order on behalf of his oligarchs .  From this perspective, Trump's unprecedented decision to decide mass tariffs against almost everyone, was an act of strategic hit against the global free market neoliberalism, with the financial capital  at its top. And that's because this dominant-for-almost-half-century system, identifies restrictions and protectionism as major threats against its own existence. In other words, Trump acted as a commander of the capitalist faction that wants to beat its neoliberal rivals and put itself in charge, through a new transformation of capitalism into a 21st century corporate feudalism.   Concerning China, Trump's move may have some negative impact on its economy for a while, since China has chosen to partially play by the rule...

Deranged euroclowns want to revive a nazi-origin project!

globinfo freexchange   Behind the ridiculously cartoonish latest spot of the EU that gives "instructions" to the European citizens on how to deal with a major crisis during the first hours, lies a secret desire.    The deranged euroclowns of the crypto-fascist extreme center , are trying to build up a condition of consent inside the minds of Europeans, which is related to their biggest wet dream: an autonomous imperialist European army. The idea was not born suddenly because of Trump's hostile attitude against his own allies. From the early 50s, pan-European networks of neo-Nazis were created. In May 1951, the European Social Movement (MSE) was founded in Malmö, Sweden. Essentially, it was about projecting the ideology of the German SRP on a pan-European level. The MSE, which would remain active until the 1980s, proclaimed the need for Europe to emancipate itself from the divisive tutelage of the USA and the USSR, called for the defense of the “European race” against th...

Neoliberalism Needs To Go

Second Thought  

Netanyahu BRAGS About Genocide - And Our Media COVERS IT UP

Owen Jones  

Google Imports Ex Israeli Spies, The Genocide Resumes, Cruel Britannia

by Nate Bear   Part 3 - Cruel Britannia   The UK is moving ahead with large welfare cuts for disabled people, including those with cancer. On TV the other day, the UK’s health secretary Wes Streeting said that people with cancer should be in work, not at home resting. Alongside this, the government has said that to cut youth employment it will push young people to join the army. This, of course, is in the context of a massive expenditure on military weapons in the face of the Russian bogeyman.   What’s happening in the UK under a nominally centre-left Labour government is a good reminder that there is never a lesser evil if your leaders are neoliberals. Balancing the books on the backs of the poorest and most vulnerable in society is the north star of all neoliberals, whether they call themselves centrists, left wing or right wing. Cruelty is the policy and the point.    Yet the last few years have also been a good reminder that everything is a choice. Cov...

Trump Speeds Up FALL OF THE WEST With Tariff War

Owen Jones     Related:   Trump's tariffs: A unique opportunity for BRICS and the Global South to fully escape from dollar tyranny

UN rapporteur Francesca Albanese: World is watching a live genocide in Gaza and doing nothing

The New Arab   As Israel’s war on Gaza enters its 19th month, UN Special Rapporteur Francesca Albanese is sounding the alarm louder than ever: the world is watching a live genocide — and doing nothing to stop it. In an exclusive interview with The New Arab , Albanese describes the devastation in Gaza as unparalleled since WWII. Entire neighbourhoods lie in ruins, tens of thousands are dead, and 91% of Gaza’s population is at risk of malnutrition. Over 60,000 children show signs of cognitive impairment due to starvation.  “This is not just war. This is genocide in real time,” she says. “What we are seeing now is the destruction of a people who refuse to leave.” Despite UN mandates and international law, Albanese says the global system is paralysed, and governments, corporations, and even universities are complicit. “If Palestine were a crime scene, it would bear all our fingerprints.”

US Official EXPOSES Truth About Gaza From The Inside

Owen Jones  

Google Imports Ex Israeli Spies, The Genocide Resumes, Cruel Britannia

by Nate Bear   Part 2 - The genocide resumes   The day before the Wiz deal, Israel resumed its genocide of Gaza with an unhinged bloodthirsty rampage, the deadliest twenty-four hours in the last nearly eighteen months of genocide. A high bar had been set, and it was cleared. They attacked at night, itself an act of utter cowardice and sadism, and slaughtered hundreds as they slept in tents. In tents. Close to one hundred babies and young children were killed. The overall death toll exceeds 400 and is rising. As expected, there is not a flicker of condemnation from world leaders, many of whom are arming Israel with the weapons and intelligence it needs for genocide. The British air force spent the ceasefire period gathering intelligence on Palestinians and feeding it to Israel so they could restart the mass murder efficiently.  The genocide is the end of the west. It destroys any claim to moral superiority over Russia, China, Iran or any of the officially designated bad g...