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Eurogroup doesn’t unlock funds for Greece; it bows to Schaeuble instead as he tries to topple Merkel

For one more time, Greece is in the Eurogroup’s Twilight Zone. Some of the creditors insist on putting obstacles in front of the release of the 2-billion euro bailout tranche. And no wonder, it is the usual “suspects”: Schaeuble, Dijsselboem & Co. Ok, everybody knows that Dijsselbloem is following Schaeuble’s orders, while Schaeuble is following his own political  aspirations: to be Chancellor in Berlin. Thus taking advantage of the situation with the refugees, with Merkel’s policy on the issue and the crowd of conservative German voters, the economic situation in Greece. How he will do it? It’s easy – today he staged his own little coup against Merkel, short before he left for the Eurogroup meeting in Brussels. Today, it became clear how Schaeuble’s deepest wishes are interwoven with the Greek bailout and the Refugee Crisis.

It has been clear in the last few days, that the Eurogroup would not approve the release of the 2-billion euro bailout tranche Greece desperately needs. The gap between Athens and the creditors on certain issues is still there. Or the creditors do not want to bridge it. At the doorstep of the Eurogroup meeting hall, the German Finance Minister and the Eurogroup chief competed with each other as to who will give the strongest headbutt the Greeks.

Jeroen Dijsselbloem said for example “Time is limited  for Greece” and “we need to finish the first set of milestones as soon as possible’.  He washed his hands in a big basin full of water and looking to the right, he said “No decisions are expected from us because the talks with the commission and the other institutions are still ongoing.”

Wolfgang Schaeuble sat back relaxed as always and said the same thing as always: “Greece has not met all conditions for the payment.” If it was for Schaeuble Greece can never and will never meet any conditions to please Schaeuble who would definitely prefer that Greece gets out of the eurozone and the EU and all 10 million Greeks move to Syria together with the refugees. But thank Goodness, the French are in Brussels too – apparently in support for Greece.

Before take the jet for Brussle, French Finance Minister Michel Sapin said he wanted a euro group agreement today that would provide funds to Greece this week at the very latest.

“I’m going to Brussels with the spirit that an agreement should be achieved this afternoon,” Sapin said at a press conference Monday in Paris. “This will allow bank recapitalization and for the sums due to Greece to be paid.” In a rare moment of self-exploration Sapin admitted “It’s a bit strange we’re always asking more of Greece.”

He made specific reference to Number One issue of disagreement between Greece and creditors, the insolvent households and the foreclosures. Sapin said that he “understands” Greece’s position on dealing with insolvent households and that its current plans are in line with those of other European countries.

“Greece has made considerable efforts. It’s a bit strange that we’re always asking more of Greece. Why should we ask of Greece more than we ask of everybody else?,” the stunned Sapin wondered out-loud.

Another French, EU Commissioner for Monetary Affairs, Pierre Moscovici expressed something like a dynamic optimism.

I’ll update on the state of play on . Dynamic remains positive. Agreement can be reached in the coming days

However, neither Sapin nor Moscovici can do much to mend fences between Greece and the rest of the creditors. The real problem is not whether the indebted Greek households will have to hand their property keys directly to Schaeuble or whether debtors will be allowed to pay back their debts in 100 or 90 installments.

Schaeuble wants definitely to become “Schaeuble instead of Merkel”


The problem sits in Berlin with modern-times Iznogoud trying to take advantage of Greece and the Refugee Crisis. The man who always wanted to become ‘Caliph instead of Caliph’ in the throne is Berlin, has practically staged a coup against chancellor Angela Merkel. He joined forces with even more conservative forces within the conservative CDU/CSU governing union and together they smitten a plan on how to get rid of the Chancellor, who shows a heart to the humanitarian problem.

Schaueble joined Interior Minister Thomas de Maizière and  Bavarian Prime Minister and arch-conservative CSU chief Horst Seehofer in their plans to minimize asylum protection for Syrians refugees.

Wolfgang Schaeuble proudly announced that “Germany’s capacity to accept refugees has reached its limits” and he advocated restricting families reunions for Syrian refugees. An open foul to Merkel’s refugees and asylum policies.

He went so far to advice poor EU countries to take in refugees as an economic boon. “Some countries with negative growth can promote growth through refugees,” Schaeuble said.

Schaeuble in Brussels: “Additional refugees mean growth. That is, we have more chances that economically weak countries boost their economies if they take in refugees. This would also be a contribution to European solidarity.”

“So, why doesn’t Germany take in more refugees” one may ask. Because 1. Germany has already strong economy and 2. the refugee crisis is THE chance for Schaeuble to topple Merkel and 3. Germany has no more capacity.

Schaueble will keep on putting pressure on the Greek government to secure the EU’s border on the Aegean together with Turkey and accept to keep thousands of refugees in order to “boost its economy”. Only then he will give the green light for the release of the any bailout tranche to Greece. Because then, with refugees away from Germany, he will have won over Merkel.

Schaeuble knows how to play things and has strong cards in his sleeves. If Greece does not agree with the creditors’ institutions not only the 2 billion will not reach the country, also the bank recapitalization may be at risk. And you can imagine the consequences. Delay over delay… until the end of the year and then bail-in with Greek depositors hostages of the capital controls to cry after their life savings or what is left from them after 5 years of economic crisis.

+++ Eurogroup latest:

sorry, wrong copy paste..


The welcomes the commitment of the Greek authorities to fulfill the required measures in the course of the week.

At presser#eurogroup: mandated EWG to reconvene not later than beginning next week to take stock regarding implementation

In short: The Eurogroup gave Greece one week to complete its homework with  foreclosures and other sad things.

Embedded image permalink

Hugs Hugs Hugs. EC President Juncker hugs & kisses Dijsselbloem before both go on a working lunch in Brussels. They ate Greece and the Refugee Crisis as starter, main course and dessert.

Schaueble will first eat Merkel, then Greece. Or the other way around?

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  1. Thank you for your report and comments. This is a nightmare. What about the German people? Do they want Schäuble for Chancellor?

    • some of them certainly. from CDU +CSU and even more right

      • Too few. Right now, “Mutti” Merkel still is the queen of hearts in germany, and will most likey run for the next period.

        Schäuble is too old and has even mentioned here and there the word retirement. He has already once run for chancellor and lost.

        But what will also happen at the next Bundestagswahl is, that a new eurosceptical party will enter the Bundestag. It will be elected by dissapointed former CDU/CSU voters, and the CDU will lean to the right, to win those votes back. That will mean even harder handling of the greek crisis.

  2. On the topic of economic growth that the refugee influx allegedly brings: I saw an interesting interview yesterday on CNN’s GPS program. Fareed Zakaria interviewed Martin Wolf, the chief economics commentator at the Financial Times. While Mr. Wolf’s parents were WWII refugees themselves (Jews escaping Nazis), his position as an economist was that refugees might or might not bring economic growth depending on many factors (e.g., their level of education, entrepreneurial spirit, how long they stay, etc.)

    • of course, they won’t. it’s just a bubble by Schaeuble to persuade other eu countries to accept them.

  3. Classic Schauble. No mention of addressing the suffering of people. Just economic growth. The “restricted refugee status” is a classic example of his inhumane mind. “You are welcome to come to Germany and work in our factories, but you can never see your wife and children again unless you go back home.”

  4. Effectively, the restricted refugee status that Schauble and Co are promoting is going to cost lives. Rather than a husband making the journey, finding employment and then sponsoring his wife and children, the only recourse for families will now be for the whole family to make the dangerous voyage to freedom.

    Correct me if I am wrong, but I have never heard one word from Wolfie’s mouth pertaining to the sanctity nor dignity of human lives.

  5. Merkel dug her own political grave but if Schauble comes to power then that may very well be the end of the EU since many EU countries are fed up with his policies of austerity.

  6. Giaourti Giaourtaki

    For humanitarian policies Merkel would have enough votes outside her own party.
    It’s more or less a good cop bad cop scheme of cooperation as one could see it as creating a refugee-crisis in Germoney to abolish the Political Asylum right. Germany used the same method already to create a much harsher “Ausländerrecht” in 1993 when – just like today – it bowed to the violence of the Nazi-movement and called it “social contradictions”
    Growth should not forget about the million people from Albania and Bulgaria that had to leave Greece and Spain due to crisis and now gets forced to leave Germoney too or the possibility of Greece blowing up the EU now.
    May be it makes sense to imaging a script of what Samaras would have done since August to figure what they really want.
    Anyway it’s Germoney that produces the cars that made Syria dry and produced hunger-revolts.

  7. Alea jacta est: Portugal right-wing government was just dismissed in the parliament.

  8. Paf, degolasse!

  9. The powerful industrial lobby in Germany does not accept the submissive position of Merkel towards US foreign policy priorities. Organized in far-right parties, this lobby wants the country to return to normal commercial relationship with Russia and to take advantage of the current influx of war refugees to compensate for the lack of industrial workforce in the country. Maybe Schauble is not feeling confortable in CDU anymore.

  10. This lobby was subsequently punished via the Volkswagen leak…

  11. 10. Stella Star, interesting comment. I was considering the VolksWagen affair in the frame of industrial competion (EUA car makers against EU). Thanks.

  12. Giaourti Giaourtaki

    May be a little army revolt will make you smile:
    So far I remember the same organisation was stopping the army intervention against the December Revolt in 2008