The European Tribune is a forum for thoughtful dialogue of European and international issues. You are invited to post comments and your own articles.
Please REGISTER to post.
It's awful. He's effectively asking them to elect a corrupt right-wing government with a corrupt PASOK fig leaf. It is rightly acknowledged that people of faith have no monopoly of virtue - Queen Elizabeth II
*European Parliament, Strasbourg, 13 June 2012 Speaker: Nigel Farage MEP, Leader of the UK Independence Party (UKIP), Co-President of the 'Europe of Freedom and Democracy' (EFD) Group in the European Parliament - http://nigelfaragemep.co.uk Joint debate: European Council meeting - Multiannual financial framework and own resources A. Preparation for the European Council meeting (28-29 June 2012) Council and Commission statements [2011/2920(RSP)] B. Multiannual financial framework and own resources Council and Commission statements [2012/2678(RSP)] Transcript: "Another one bites the dust. Country number four, Spain, gets bailed out and we all of course know that it won't be the last. Though I wondered over the weekend whether perhaps I was missing something, because when the Spanish prime minister Mr Rajoy got up, he said that this bailout shows what a success the eurozone has been. And I thought, well, having listened to him over the previous couple of weeks telling us that there would not be a bailout, I got the feeling after all his twists and turns he's just about the most incompetent leader in the whole of Europe, and that's saying something, because there is pretty stiff competition. Indeed, every single prediction of yours, Mr Barroso, has been wrong, and dear old Herman Van Rompuy, well he's done a runner hasn't he. Because the last time he was here, he told us we had turned the corner, that the euro crisis was over and he hasn't bothered to come back and see us. I remember being here ten years ago, hearing the launch of the Lisbon Agenda. We were told that with the euro, by 2010 we would have full employment and indeed that Europe would be the competitive and dynamic powerhouse of the world. By any objective criteria the Euro has failed, and in fact there is a looming, impending disaster.
B. Multiannual financial framework and own resources Council and Commission statements [2012/2678(RSP)]
Transcript:
"Another one bites the dust. Country number four, Spain, gets bailed out and we all of course know that it won't be the last. Though I wondered over the weekend whether perhaps I was missing something, because when the Spanish prime minister Mr Rajoy got up, he said that this bailout shows what a success the eurozone has been.
And I thought, well, having listened to him over the previous couple of weeks telling us that there would not be a bailout, I got the feeling after all his twists and turns he's just about the most incompetent leader in the whole of Europe, and that's saying something, because there is pretty stiff competition.
Indeed, every single prediction of yours, Mr Barroso, has been wrong, and dear old Herman Van Rompuy, well he's done a runner hasn't he. Because the last time he was here, he told us we had turned the corner, that the euro crisis was over and he hasn't bothered to come back and see us.
I remember being here ten years ago, hearing the launch of the Lisbon Agenda. We were told that with the euro, by 2010 we would have full employment and indeed that Europe would be the competitive and dynamic powerhouse of the world. By any objective criteria the Euro has failed, and in fact there is a looming, impending disaster.
You know, this deal makes things worse not better. A hundred billion [euro] is put up for the Spanish banking system, and 20 per cent of that money has to come from Italy. And under the deal the Italians have to lend to the Spanish banks at 3 per cent but to get that money they have to borrow on the markets at 7 per cent. It's genius isn't it. It really is brilliant. So what we are doing with this package is we are actually driving countries like Italy towards needing to be bailed out themselves.
So what we are doing with this package is we are actually driving countries like Italy towards needing to be bailed out themselves.
In addition to that, we put a further 10 per cent on Spanish national debt and I tell you, any banking analyst will tell you, 100 billion does not solve the Spanish banking problem, it would need to be more like 400 billion. And with Greece teetering on the edge of Euro withdrawal, the real elephant in the room is that once Greece leaves, the ECB, the European Central Bank is bust. It's gone. It has 444 billion euros worth of exposure to the bailed-out countries and to rectify that you'll need to have a cash call from Ireland, Spain, Portugal, Greece and Italy. You couldn't make it up could you! It is total and utter failure. This ship, the euro Titanic has now hit the iceberg and sadly there simply aren't enough life boats."
And with Greece teetering on the edge of Euro withdrawal, the real elephant in the room is that once Greece leaves, the ECB, the European Central Bank is bust. It's gone.
It has 444 billion euros worth of exposure to the bailed-out countries and to rectify that you'll need to have a cash call from Ireland, Spain, Portugal, Greece and Italy. You couldn't make it up could you! It is total and utter failure. This ship, the euro Titanic has now hit the iceberg and sadly there simply aren't enough life boats."
"It is necessary to adopt decisive and forceful measures to leave clear the irreversibility of our integration project, and in particular the single currency," the letter said. "The uncertainty regarding the euro is preventing the adjustment measures many countries are carrying out to have the desired effects that they should have," the letter continued. "This situation is worsening in an accelerated manner and it is necessary to address it as soon as possible." Rajoy made the revelation on Wednesday in Congress, where he told lawmakers that what was required at the moment is for European to make a strong commitment statement in favor of greater union before opening a debate on how best to achieve this. "The future of the euro depends on us initiating this debate," he said. "The road won't be easy but it is an indispensable goal on which we must be in agreement."
Rajoy made the revelation on Wednesday in Congress, where he told lawmakers that what was required at the moment is for European to make a strong commitment statement in favor of greater union before opening a debate on how best to achieve this. "The future of the euro depends on us initiating this debate," he said. "The road won't be easy but it is an indispensable goal on which we must be in agreement."
We always feared that Angela Merkel's recent endorsement of a political union was a deflection, and this fear is now confirmed. The FT reports from Berlin that German officials are now playing down any expectations that Germany is ready to support a banking union and eurobonds, insisting that the existing tools of crisis resolution are adequate. Instead German officials are pretending that they support a long-term process of political union. We are now back to where we were before: there is a need to act fast, but the German chancellor is chronically incapable of making the political case for burden sharing. Expectations in the German media, and among coalition politicians have also been "managed" in such a way that an agreement for a banking union would come as a total shock. The Dutch finance ministry also said yesterday, according to Reuters, that a banking union should be seen as a long-term project that cannot be implemented immediately.
Instead German officials are pretending that they support a long-term process of political union. We are now back to where we were before: there is a need to act fast, but the German chancellor is chronically incapable of making the political case for burden sharing. Expectations in the German media, and among coalition politicians have also been "managed" in such a way that an agreement for a banking union would come as a total shock.
The Dutch finance ministry also said yesterday, according to Reuters, that a banking union should be seen as a long-term project that cannot be implemented immediately.
- Jake Friends come and go. Enemies accumulate.
I believe a consciousness-raising action is urgently needed in Spain and Europe. A Spanish Party (French, Italian, German, etc) for a Social Europe.
Now, people can feel "the crisis". If you miss the opportunity, there will be a maximum globalization, with governors servers of it.
I think in Spain it can be perceived well.
The IU -> SYRIZA scenario would go like this: First PSOE would have to start splintering. Then a left/sane faction would have to join the IU. Then the IU would have to seek alliance with other credible forces that would prop up its street cred which could be built by unwavering, clear and principled support of popular movements against austerity. That would involve removing any people who are too soft on the PSOE and recognizing that whatever remains of the PSOE is a political opponent, pretty much on the same level that the right is. Then a leader with some public charisma would help, but is not really, absolutely necessary... The problem is that at this stage there is no time for this scenario. Developments will occur at too rapid a pace so who knows... How strong is the fascist right in Spain right now and how high the level of xenophobia? The road of excess leads to the palace of wisdom - William Blake
Now that Spain has been "rescued" almost exactly 2 years after Greece, the situation is that the PP parliamentary group needs to start leaking parlamentarians, like PASOK did, until the government loses its supermajority and becomes vulnerable to a no-confidence motion. For PP parlamentarians to break party discipline seems unthinkable right now.
I think it's more likely that Spain's economy will tailspin to 30-35% official unemployment (60-70% youth unemployment!) and then social unrest prompts a suspension of civil liberties than that the PP will lose its parliamentary supermajority. The government has already legislated a criminalization of nonviolent civil disobedience.
But the PP base (and the parliamentary backbenchers) are right now in a state of perplexed shock both at the political/economic situation and at the government's performance (and performance art). So, who knows, there could be an internal revolt. If you are not convinced, try it on someone who has not been entirely debauched by economics. — Piero Sraffa
Are people concerned that Spain will leave the eurozone precipitously? If they are not, should they be?
UI is marked in Spain, very different from what it was in Greece. The Socialist Party is also marked and no alternative leaders.
Since people from IU, from the PSOE, and new people, a new party would be required, unmarked, looking to the future.
I quit. Sorry. I have to go to the doctor.
To be blunt: If a Greek polling agency about whom I knew nothing else told me that a majority of the Greeks believed that sky to be blue, I would email talos and ask him whether the result was credible before believing it.
by Oui - Dec 9 7 comments
by Oui - Dec 5 10 comments
by gmoke - Nov 28
by Oui - Dec 97 comments
by Oui - Dec 820 comments
by Oui - Dec 620 comments
by Oui - Dec 612 comments
by Oui - Dec 510 comments
by Oui - Dec 44 comments
by Oui - Dec 26 comments
by Oui - Dec 181 comments
by Oui - Dec 16 comments
by gmoke - Nov 303 comments
by Oui - Nov 3012 comments
by Oui - Nov 2838 comments
by Oui - Nov 2713 comments
by Oui - Nov 2511 comments
by Oui - Nov 243 comments
by Oui - Nov 221 comment
by Oui - Nov 22
by Oui - Nov 2119 comments