Tsipras has repeatedly blamed MeiImarakis for labelling him “petty liar”. But let us see whether the adjective is not so unfair and is not justified by Tsipras’ statements? Let us take as a sample his public interview by a number of journalists in Thessaloniki on 7 September.
I shall approach it in a very gentleman-like fashion, never even allowing the words “petty liar” to cross my mind. I shall refer, therefore, to a sample of some of the most obvious and intended inaccuracies, which abound in the interview. I will let our visitors decide whether these are lies or not.
- «A.TSIPRAS: Ms Loutsopoulou, asking pardon is a good thing, but Mr. Meimarakis should beg pardon for all that his Party has done in the last 40 years, burdening the Greek people with unbearable debt and deficits”.
Reality is that in the 41-year period from 1974-2015 New Democracy (ND) has been in power only three times totalling 15 years. Now how 36% becomes 100% is a matter of Mr. Tsipras’ mathematics. When ND handed power in 1981, public debt stood at 28% of gdp. When it took over from PASOK in 1990 the debt, including public guarantees, had sprung to 100%. May be besides intensive lessons in geography[1] and economics Mr. Tsipras needs extra coaching in simple arithmetic.
- “Α. ΤΣΙΠΡΑΣ: We managed to maintain the public control of little PPC[2] and ADMHE[3] of the national grid. These are extremely important differences. Agreement from Agreement may be different. It it possible that all Loan Agreements incorporate the same clause – MOU – but the content is different, it has an extreme difference”.
The statement is full of mis-descriptions and inaccuracies.
First, It is obvious that Mr. Tsipras does not understand the meaning of the term MOU. He apparently mistakes it for a “clause” in the Loan Agreement, unless this is not a mistake but it is an intended slip to enable him to escape from his responsibility of having signed it.
Secondly, Government Gazette 94 A/14.8.2015, containing the enabling legislation signed by the Vice-President and 16 Ministers on page 1029 states:
“4.3. Publicly controlled enterprises of national grids (energy, transport, water).
Until October 2015 the authorities: a) will take irreversible measures (including the announce-ment of the closing date for the submission of final commitment offers) for the privatisation of the enterprise for electric power transmission ADMHE, (basic deliverable) … ”.
- “Α. TSIPRAS. And now that we brought back an agreement that gives a financial breathing space of 83 billion euros, mind you! not to burden further our debt but to repay past debts”.
First, the official factsheet of ESM mentions 86 and not 83 billion.
Second, Mr. Tsipras as usual follows his preferred tactic of misleading the Greek people, in this case that the loan in the third Memorandum is for the repayment of past debts. He conveniently forgets that half of the amount is to cover primary deficits accumulated during his 7-month term through his Government’s inability to collect taxes and restrict expenditures.
- “What exactly happens with these 83 billion? Shall we take it in turn? First of all we cover the financial needs of the next 3-year period and we repay with them the bonds that lie ahead of us until 2019, I,e, 20 billion to IMF and 28 million to the European Central Bank”.
Again Tsipras misstates the truth, which is that if he did not bring down, with a trick, the coalition government of ND and PASOK repayment was fully covered by the primary surpluses that this government had secured, which he subsequently evaporated and there would be no need for a third Memorandum.
- «Α. TSIPRAS: Bonds that had coupons of 3.8 and 4.5% and which are now covered with a loan at 1.5%»
“Habit is second nature” as Greeks put it. Once more, he is stirring up mud to lead into the misconception that from now onwards our entire debt will bear interest at 1,5%, whereas it is well-known that the outstanding 141.8 billion of EFSF and the extra money in first facility granted by IMF and member-states, bear an average interest rate of about 4%. Incidentally the correct present rate according to the ESM factsheet is 1%.
- «Α. TSIPRAS: In substance therefore we are un-debted, we do not indebt the country as ND says».
In so many words “black is white and white is black”. Unless Mr. Tsipras hasn’t got a clue as to what he signed and what is the reality about the Greek economy. Namely that he sunk it into recession from the light growth that he took over from Mr. Samaras, dynamitizing it as a good financial terrorist that he is.
Reality is that even with the best black humour, the joke of the “1st Government of the Left” has cost the Greek people a good 90 billion euros, as documented by Mr. Meimarakis.
Maximos
[1] This is in reference to Mr. Tsipras’ statement that “there are no sea boundaries”.
[2] PPC: Public Power Corporation
[3] ADMHE: Independent Manager of Electric Power Transmission. A wholly owned affiliate of PPC