The key issue, of course, is not so much whether the IMF will be part of the deal – a typical fudge could, for instance, be concocted with the IMF providing ‘technical assistance’ to an ESM-only program.
The issue is whether the promised debt relief which, astonishingly will be discussed only after the new loan agreement is signed and sealed, will prove adequate – assuming it is granted at all. Or whether, as I very much fear, the debt relief will be too little while the austerity involved proves catastrophically large.Yanis Varoufakis
Will the IMF throw the spanner in the works? – as I feared and Dr Schäuble hoped?
If The POTUS and Congressional leaders are pressuring the IMF, they would soften up, but they aren't so the question is why. Why can't Washington pull strings with the IMF to get something done for Greece without all the German austerity non-sense? Merkel holds the reigns of power not the US. She is the one that is driving European expansionism, against US wishes. She is antagonizing Russia. She is beating up Greece. Her conservative, almost shy appearance and quiet understated speaking style belies her aggressive belligerence in policy. A force to be reckoned with.
ReplyDeleteA strong and united Europe as a competitor to the US is not in the interest of the US. The US may support it with lip service, but …..
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