Crisis? What Crisis?

What an amazing spin the politicians can put on things as, according to the EU Economic Affairs Commissioner Pierre Moscovici claimed yesterday in Luxembourg - “The Greek crisis ends here tonight”. This coming almost ten years after Greece’s out-of-control spending sparked three bailouts and a near collapse of the euro.

Whereas the grassroots reality is that Greece still has 180% debt to GDP ratio, mass emigration of working age population, over 20% unemployment rate and no structural reforms.

So it would seem that far from the EU having “sorted out” the Greek debt crisis, they have just kicked the can down the road for a further ten years. The debt is still there and will still have to be repaid. Moreover it will take longer and keep Greece under the thumb of the Germans for that much longer.

Of course Greek Finance Minister Euclid Tsakalotos is happy with the outcome, but perhaps Christine Lagarde offered a slightly less positive spin as, whilst welcoming the debt relief, she hinted at the International Monetary Fund’s reservations about Greece’s obligations over the long term. “In the medium term analysis there is no doubt in our minds that Greece will be able to reassess the markets….as far as the longer term is concerned we have concerns” .

It all brings to mind the 1979 Labour government collapse. Under James Callaghan, they were seemingly in ignorant bliss of the Winter of Discontent’s effects on the national populace until their collapse was heralded by a UK tabloid journalist’s headline: “Crisis? What Crisis?”