Greece Oxi

IMF: Even if Greece signed on to the full package of austerity measures their debt would remain unsustainable

Greece would face an unsustainable level of debt by 2030 even if it signs up to the full package of tax and spending reforms demanded of it, according to unpublished documents compiled by its three main creditors.

The documents, drawn up by the so-called troika of lenders, support Greece’s argument that it needs substantial debt relief for a lasting economic recovery. They show that, even after 15 years of sustained strong growth, the country would face a level of debt that the International Monetary Fund deems unsustainable.


It has to be said. No one put a gun to the Greek’s Head and said spend spend spend… But then again the banks could have seen this coming.

  • just a thought

    “But then again the banks could have seen this coming.”

    So,what you’re saying is that no one put gun to the bankers’ heads and said ‘lend, lend, lend’? :-/

    • Yup;)

      • canminuteman

        I don’t know about Greece, but that’s how it worked in the US. The government did put a gun to the bankers heads and say, lend, or we will charge you under the community reinvestment act and shut you down and jail you. I suspect that if governments need money, and banks have money that governments have ways of getting that money out of banks.

        • Exactly.

          That brought about the 2008 crash.

  • dance…dancetotheradio

    Once Greece got the Olympics as some sort of celebration of the EU I knew they were done.
    It’s been eleven years but the bills are coming due, finally.

  • just a thought

    News too depressing? Need a little pick me up humor?

    The job seeker in this one must be Greek, and the interviewer NOT from the EU.

    Sorry, but i needed to take something for my attack of seriousitis, and thought maybe some others might, as well.

  • Shebel

    Hopefully this will be the start of the demise of Globalization.
    It has had its’ run.
    Time to take care of our own.

  • john s

    Bankruptcy may be preferable to indentured slavery. I know I would prefer to go broke and start over rather than become a slave to foreign powers.

    • canminuteman

      The Greek problem is that even if they go broke don’t pay a dime of any debt back, they still don’t have enough money to pay for the operation of their government at it runs now. They will still get severe “austerity” and civil unrest as a result.

  • David Murrell

    There is economic logic to bankruptcy, in the sense that if Greece goes bankrupt — and it is starting to do so now — it then can write off the entire $120-billion+ debt it now owes. Households and businesses go bankrupt all of the time, and the do so for a reason.

    If I were a Greek, and I have strong conservative beliefs, I would vote “no” if Greece would (magically) renounce its ultra-liberal ways and introduce a conservative, save- and w-rk-ethic economy. But of course Greece will never do that. And the fear is that the Greek mentality is alive and well in other Western nations, including the USA and Canada.

    A perceptive person, on one of the business news networks (CNBC I believe) said “Greece is like an obese 650 lb person who blames his situation on a failed crash diet he was on”. Greece is a selfish glutton is — with the election of the left-wing government — has gone off of its diet. Probably in the end a “yes” or “no” vote doesn’t matter, for this glutton..

    • canminuteman

      You’re right. Even if they went bankrupt and are n longer servicing debt they don’t have enough money to pay out their “entitlements”. After they go bankrupt, no one will lend them money, there won’t be enough money to pay government employees and pensioners and the result will be civil unrest potentially leading to civil war.

  • Hard Little Machine

    If they can, people themselves will get out of the Euro whatever the government does. They can use Dollars or Pounds or Rubles or whatever Turkey uses. Since no one pays taxes anyway, it shouldn’t matter very much. Just create a back alley currency exchange and stop using the Euro at all.

    The problem essentially is that since essentially everyone in the country is a government ’employee’ or a government ‘pensioner’ they don’t have any choice but to use the worthless money the government hesitates to give them. If you live off a government allowance and that allowance is meaningless Zimbabwe money then you’re screwed. But many people will have to get up off their beach towels and do something on their own in spite of what the government does. Or they can starve. Or they can replace their government with a fascist dictatorship and declare war on someone. Or they can sell their country to someone else. There are always options.

  • Maurixio Garcia Sanchez

    Greece could set up a good deal with the rest of Europe,just accept all Muslims and African refugees.