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The Greek Programme: The B Rating and the Negotation

From a procedural “walk in the park” the legendary B Rating has become kind of a drama with narratives of bankruptcies, elections, Grexit, tax-free in 5.000€, first home auctions and the IMF sometimes into and sometimes out of the Greek programme.It’s true, the show “The biggest sovereign debt crisis of all time and the vengeful ghost of the Eurozone” returns with a vengeance.

Germany is persisting in the eve of IMF, but it cannot accept the conditions that IMF suggests, such as the immediate relief of Greek debt and the limitation of the insane targets for primary surpluses of 3.5%. So, how will the deadlock be resolved? After the German elections, the previous Greek government insisted monotonously on the same narrative. In other words, the rulers from the Megaro Maximou were claiming that when Merkel will be re-elected, she will then loosen and tie the dragon Schaeuble.

However, the situation has been changed now; the deadline seems to end on the 20th of March. Can the Greek government withstand a possible withdrawal of IMF and an equally possible suspension of funding until there is a new parliamentary -enhanced- “intra-European” agreement? Because if there was not the IMF, we would have to invent it. The structural contradictions of the Third Memorandum and the evil ghosts of the previous two, do not allow great freedom of movement in a country that has lost all privilege, financial and legislative ownership and direction.

And then, what happens? Will the Greeks vote on new measures after 2018? Does it matter now? If the government convinces itself that it does not matter and search for a cause to pass new measures, it will be directly threatened by eradication of any electoral base.  And that affects another sector, except from the financial one. So, in terms of politics: “What happens? Will elections be held? And does it matter now?”

Greg Tsitsopoulos

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