Greece-Arms Deals: Does Merkel Trade “2nd Bailout” for “60 Eurofighter”? tagged: , , , , , , , ,

Greece-Arms Deals: Does Merkel Trade “2nd Bailout” for “60 Eurofighter”?

Posted by keeptalkinggreece in Economy

From time to time there are similar leakages in the European media. That Greece’s lenders, preferably the Germans and the French, put Athens under pressure for lucrative arms deals. There has been talk about German submarines, French frigates and American Apache helicopters. The latest story by German Weekly DIE ZEIT  speaks of multi-billion-euro arms contracts, once the debt-ridden country receives the next aid tranche, estimated to be € 80 billion in  March 2012.

DIE ZEIT quoted an apparent middleman, a frequent visitor at the Greek Defense Ministry, making these allegations.

Fine Weapons for Athens – Frigates, tanks and submarines: Saving Packages By-Pass The Greek Military.  And Germany benefits.

The man knows the wish-list of the Greek Defense Ministry by heart: up to 60 fighter aircraft fighter for maybe € 3.9 billion. French frigates for about four billion euro,  patrol boats worth 400 million euros. So much is necessary for the modernization of the existing Greek fleet. Then it still lacks of ammunition for the Leopard tanks , but also two American Apache helicopters need to be replaced. Oh, and one would like to buy German U-boats, total price: two billion euros.

What the man,who goes in and out at Greece’s Defence Ministry, says sounds absurd. A State which is on the verge of bankruptcy and is supported by billions of the European Union wants to buy tons of weapons?The man in the Athens café is often seen in pictures next to generals of the Army or Defense officials, he often speaks with these guys on the phone, so he knwos what he’s talking about. He knows how sensitive the issue is, and would therefore not be named in the article. Even he holds these arms purchases as not communicable. But things could soon change, he says: “If Greece get paid the next tranche of aid, with € 80 billion expected, in March, there is a real opportunity to conclude new arms contracts.”

Quoting several Greek and German sources, DIE ZEIT wrote that the Greek government wanted to order 90 Eurofighters from Germany back in 1999 and that even than Foreign Minister Joschka Fisher (Greens) tried to persuade the Greeks. In fact, every once in a while the German government was trying to remind the Greeks of their Eurofighter needs.

Angela Merkel in the years 2005-2007.  Foreign Minister Guido Westerwelle (FDP) tried to secure the Eurofighters deal even in the spring 2010, just weeks before the Greek bankruptcy. The Greeks did not make any deal and few weeks later Westerwelle told a German newspaper that “Before there is any discussion about aid to Greece , that the country does its full homework on consolidation policy.”

Many German arms companies profited in the last years from the Greek defense needs: 223 Tanks-equipement Typ M109 and one Submarine (Class 214) total worth 403 million EUR, arrived in Greece in 2010! Krauss-Maffei Wegmann delivered 170 Leopard-2 Tanks for 1.7 billion EUR. Thyssen-Krupp delivered submarines, Eurocopter helicopters and Diehl BGT missiles.

Yes, Greeks are proud that their army is equipped with German products! But DIE ZEIT article triggered some negative reactions in Greece and three MPs from left-wing Democratic Left party, submitted a question to Defense Minister Dimitris Avramopoulos, asking whether such allegations are true and whether German Chancellor Angela Merkel has set the Eurofighters deal as precondition for the second bailout (Zougla.gr)

Full Die Zeit Article in google translation in ZeroHedge

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