THE EU’s AIMS & CRISIS REVEALED : Austrian petition coup, IMF says major debt haircut is only solution, and Merkel Wikileak shows German cynicism in 2010

The anti-EU movement in Austria having reached the necessary percentage of signatures on a citizen appeal (4% – just over 260,000) the Nationalrat must now debate the issue of whether to stay in the EU/euro or not.

The IMF has just announced its firm conviction that Greece needs a debt haircut -, ie, debt restructure.

And now, Wikileaks has released NSA documentation that shows Merkel admitting in 2010 that Greek debt was unrepayable. At the Vox.com site, we see Merkel discussing the debt: this is the Sun headline:

‘…as long as the debt is on the books, Greece needs to keep asking for permission to roll the debt over and failure to pay debts can be used as a political trigger for forcing Greece out of the Eurozone. The debt, in other words, isn’t about money. It’s about political control. If the debt is formally forgiven then not only do Greece’s creditors need to write down some money, but they need to let Greece go on its merry way. If the debt is merely subjected to repeated rounds of extend and pretend then Greece’s creditors get to keep making various demands about structural reform.’

“Even with another haircut,” Merkel is reported as saying, “they can’t possibly sustain the debt repayments”. And she goes on to add that “restoring some kind of balance in the banking system” is the main priority.

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