Any chances of Greece calming after elections this weekend may have been ruined by Merkel and Rajoy .

The words by Merkel and Rajoy suggesting that the spanish recent rescue is totally different and more convenient than previous rescue moves on Greece and Ireland are already rising rage among the greek voters .
Besides redirecting more intensely the vote towards the leftist party defending the rupture of the austerity agreement that took so many pains to fix with Venizelos , the greeks will now have a very strong argument to renegotiate it .

And do you know what ? I have a feeling that this matter will make it impossible to reach any sound agreement with Greece and may be the setting of a domino effect that will cause The Netherlands , Finland and Germany itself to harden further the details of the final agreement with Spain .

In fact as stupid as it may sound this might be reason for Merkel to loose next german elections .

And FMI’s Lagarde should refrain her obsession to be nice often creating confusion among FMI world members . The FMI must transmit pragmatism and equanimity .


Published in: on junio 13, 2012 at 9:32 am  Comments (2)