Tag Archives: Pasok

Venizelos’ Oral Plan

Here is a 10-point “plan” for a strategic framework, presented to the Greek Parliament by PASOK leader Evangelos Venizelos. He described  his 10-point proposal as a plan for an “integrated national strategy”. (I have highlighted certain words in BOLD.)

1. There is need for immediate actions by Greece in the period of August-September that will concern high-level contacts with the leaders of the EU member states and also the institutional partners (European Commission, European Central Bank and International Monetary Fund), and also for shielding the domestic front. The national negotiating team must be formed and the opposition called on to contribute to the effort. Venizelos said it would be a “mistake” and “insult to the country” for it to be said that it has been inert with respect to the structural changes, adding that the changes effected from 2010 to the present are “unprecedented” and the reproduction of such stereotypes at Greece’s expense must stop.

2. The country must manifest its strong determination to promote structural changes, and noted the 77 obstacles pinpointed by the Fund for privatisations, which he stressed need to be immediately eliminated through legislation.

3. The end fiscal target must immediately be confirmed, so that from a deficit of 11.5 billion euros we will go to a primary surplus, and a 2.6 percent growth rate must be achieved.

4. The fiscal adjustment period needs to be extended to 2016.

5. It is necessary to draft an updated programme for the period 2012-2016, so that the 2012 budget may be closed and a draft budget drawn up for 2013, which should be tabled in parliament in early October.

6. A proposal should be drawn up for full itemisation of the programme for 2012-2014, without across-the-board cuts that affect small and medium incomes.

7. Improvement of the macroeconomic climate which, if improved, will enable an easier implementation of the second stage of fiscal adjustment in 2014-2016.

8. Immediate and tangible measures must be taken to increase employment in tandem with a reduction of the cost of money, as well as measures to control prices.

9. Measures must be taken to reinforce social cohesion.

10. The international communications framework that is negative towards Greece must change, in cooperation with the partners.

The “must be” phrase is the one which gives the illusion of action but in fact means absolutely nothing. It is not even a statement of intent. You will notice (in bold above) that Venizelos is using exactly the language which I outlined HERE .

Political pronouncements would carry far more gravitas if they sometimes contained dates and more definite verbs. For example, looking at just ONE of the items on Mr Venizelos’ shopping list:

See the wording of No 8 (above)…NO amount…NO date…..in fact, NOTHING definite. Here’s a slight modification:

The original:

8. Immediate and tangible measures must be taken to increase employment in tandem with a reduction  of the cost of money, as well as measures to control prices.

A modified version:

8. Directly through the Treasury, we are allocating €5 billion to be available to employers, specifically for them to hire new people. This money is available now and the employer will be paid the equivalent of six months of the new employees salary on Day 1 of that employee joining the business. This facility will be open only to those employers with an annual turnover of under €500,00 per year.  All start-up businesses will be completely tax-exempt for 12 months.

(The figures are only for illustration purposes but they do shed some light on the difference between empty political words and a PLAN.)

It looks as if Mr Venizelos continues to practice exactly what Eurozone politicians have been indulging themselves in for the last FOUR years:

ORAL POLITICS :  Words WITHOUT actions.

Greek Texas Hold ‘Em

The Greek Syriza leader has the measure of the Eurozone sheep.

You may not agree with his politics but Alexis Tsipras is THE ONE that Eurozone leaders do NOT want to negotiate with.

They have been bluffing that they’re “ready” for a Greek Euro exit. It’s all talk!

They are NOT ready and Tsipras KNOWS IT . He also knows that a Greek exit (forced or otherwise ) would not-only create economic and banking havoc but that the after-shocks would be felt all around the world.

He’s willing to call their bluff because he realises that countries such as China  & Russia are standing-by and would immediately move in with investment.

Your call.