Euro hits 11-year low after Syriza victory in Greece

Domingo Halliburton

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7 March 2015 Last updated at 08:23 ET
Greece 'eyes tourists as amateur tax inspectors'
COMMENTS (152)
_81466460_007715893-1.jpg
Will Greek tax-dodgers have to beware of holidaymakers bearing cameras?
Continue reading the main story
Greek bailout
The Greek government could hire "non-professional" tax inspectors, including tourists, to spy on tax evaders, according to a leaked document.

Students and housewives could also be used as part of the reported scheme to tackle fraud, which could include hidden cameras and recording devices.

It is said to be one of the ideas Greece will raise at a meeting of eurozone finance ministers on Monday.

It needs to convince them it is serious about reform to receive further credit.

Eurozone leaders want to extend help on Greece's €240bn (£176bn; $272bn) bailout until the end of June in return for commitments to further reform.

The leaked document, a letter reportedly sent by Greek Finance Minister Yanis Varoufakis to Eurogroup president Jeroen Dijsselbloem, was seen by the Financial Times newspaper and AFP news agency.

_81466493_026156709-1.jpg
The letter is attributed to Greek Finance Minister Yanis Varoufakis
"The culture of tax avoidance runs deep within Greek society," the letter reportedly says.

"Tax authorities are not only understaffed but immersed in the logic of book-checking when the real problem lies off the books."

Informal tax inspectors would be hired on a "strictly short-term casual basis - no longer than two months and without any prospect of being rehired".

Mr Varoufakis is quoted as saying that the very news that there were thousands of casual onlookers carrying spying equipment on behalf of the tax authorities could shift attitudes quickly.

The amateur inspectors would be able to go to places traditional tax inspectors would be wary of visiting such as nightclubs and medical facilities, he added.

The proposal was immediately received with some scepticism, the BBC's world affairs correspondent Mike Wooldridge reports.

Other proposals reportedly include taxing online gambling, streamlining the bureaucracy and activating an existing plan for an independent watchdog to monitor government fiscal policy.

The new government also wants to spend more money to help those who have been hardest hit by the country's long recession.

http://www.bbc.com/news/world-europe-31780354?ocid=socialflow_facebook

please rationalize this for me :mjlol:

If you're not guilty what do you have to hide, breh? :troll:
 

FaTaL

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7 March 2015 Last updated at 08:23 ET
Greece 'eyes tourists as amateur tax inspectors'
COMMENTS (152)
_81466460_007715893-1.jpg
Will Greek tax-dodgers have to beware of holidaymakers bearing cameras?
Continue reading the main story
Greek bailout
The Greek government could hire "non-professional" tax inspectors, including tourists, to spy on tax evaders, according to a leaked document.

Students and housewives could also be used as part of the reported scheme to tackle fraud, which could include hidden cameras and recording devices.

It is said to be one of the ideas Greece will raise at a meeting of eurozone finance ministers on Monday.

It needs to convince them it is serious about reform to receive further credit.

Eurozone leaders want to extend help on Greece's €240bn (£176bn; $272bn) bailout until the end of June in return for commitments to further reform.

The leaked document, a letter reportedly sent by Greek Finance Minister Yanis Varoufakis to Eurogroup president Jeroen Dijsselbloem, was seen by the Financial Times newspaper and AFP news agency.

_81466493_026156709-1.jpg
The letter is attributed to Greek Finance Minister Yanis Varoufakis
"The culture of tax avoidance runs deep within Greek society," the letter reportedly says.

"Tax authorities are not only understaffed but immersed in the logic of book-checking when the real problem lies off the books."

Informal tax inspectors would be hired on a "strictly short-term casual basis - no longer than two months and without any prospect of being rehired".

Mr Varoufakis is quoted as saying that the very news that there were thousands of casual onlookers carrying spying equipment on behalf of the tax authorities could shift attitudes quickly.

The amateur inspectors would be able to go to places traditional tax inspectors would be wary of visiting such as nightclubs and medical facilities, he added.

The proposal was immediately received with some scepticism, the BBC's world affairs correspondent Mike Wooldridge reports.

Other proposals reportedly include taxing online gambling, streamlining the bureaucracy and activating an existing plan for an independent watchdog to monitor government fiscal policy.

The new government also wants to spend more money to help those who have been hardest hit by the country's long recession.

http://www.bbc.com/news/world-europe-31780354?ocid=socialflow_facebook

please rationalize this for me :mjlol:


talk about freaking reaching, they have no idea what to do
 

88m3

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Greek Alternative Reality Clashes With Euro Area Losing Patience

byIan Wishart
12:19 PM EDT
March 10, 2015

1200x-1.jpg

Yanis Varoufakis, Greece's finance minister, speaks during a news conference following a meeting of European finance ministers in Brussels, Belgium, on Monday, March 9, 2015.

Jasper Juinen/Bloomberg *** Local Caption *** Yanis Varoufakis

(Bloomberg) -- Ask Greek Finance Minister Yanis Varoufakis about his country’s predicament, and you’re likely to get a very different response from the one echoing around the euro region.

The Athens University professor said on Monday he’s convinced the six-week-old government is doing what’s needed to secure more funding and avoid bankruptcy. His counterparts, during a euro-area finance ministers’ meeting, spoke of mixed messages, dawdling and a lack of detail over Greece’s deteriorating financial situation.

Impressions aside, Greece is running out of time, money and friends. France’s Michel Sapin, whose government had made the most conciliatory noises toward Greek calls for less austerity, expressed frustration with Varoufakis. Spain’s finance minister, concerned about an anti-austerity insurrection at home, also hardened the rhetoric.


“The time comes when what’s needed is not declarations of intentions or slogans, but figures and verifiable data,” Sapin said in Brussels.

Greece is seeking the disbursement of an aid payment totaling about 7 billion euros ($7.5 billion) amid speculation its coffers could be empty by the end of the month. With technicians representing the European Commission, European Central Bank and International Monetary Fund set to begin work Wednesday to assess the nation’s needs, officials around the euro zone have complained about the lack of progress.

Much of the negotiations of the past few weeks have been a “complete waste of time,” according to Dutch Finance Minister Jeroen Dijsselbloem.

‘How Serious?’
“Not so much has happened,” in Greece since the euro area in February allowed the government’s loan agreement to be extended by four months,’’ he told reporters after the meeting. “So the question arises: how serious are they?”

For Varoufakis, 53, an economist whose expertise is game theory, all is working well and the government is on course to meet all its debt obligations.

“I believe that we are doing our job properly,” Varoufakis said at the conclusion of Monday’s talks. “Our job is to start the process which is necessary for the European Central Bank to have confidence.”

After promising the electorate it would break free from the conditions tied to the country’s bailout, the government committed to coming up with a package of economic reforms in exchange for the aid. It now has to give more details of how it will implement them.

‘Car Crash’
“If it carries on like this, it’s a road to a car crash,” Andrew Lynch, a money manager at Schroder Investment Management Ltd. in London, told Bloomberg Television. “Both sides need to stop the posturing and get a deal done as quickly as possible because otherwise you just get to a stage where accidents can happen, and accidents at this stage could be very serious.”

Varoufakis had already angered his fellow ministers when he arrived 35 minutes late at one of last month’s meetings, said two European officials, who spoke on condition of anonymity because the discussions were private.

He entered with a camera, which isn’t allowed because the talks are supposed to be behind closed doors, the officials said. When those talks broke down, Varoufakis termed the euro area’s proposal to extend existing bailout commitments “absurd” and “unacceptable.”

Irritated Officials
Euro-area finance ministers have told Varoufakis to make his language less divisive, a separate European official said on Tuesday. Ministers are irritated with the way he was communicating, the official said.

Varoufakis annoyed the Italian government when he said on Feb. 8 that Italian officials had told him their country was at risk of bankruptcy. Finance Minister Pier Carlo Padoan said Varoufakis’s comments were “out of place.”

While the north-south divide would once have given Greece some natural allies against German-led austerity, there are also political reasons for shunning Varoufakis.

In Spain, the anti-austerity Podemos party is leading most opinion polls before an election due by the end of the year. Portugal is due to vote in September or October, with Prime Minister Pedro Passos Coelho’s Social Democrats trailing in recent surveys.

The Greek government “was attempting to build alliances with the southern periphery and also with Italy and France -- other countries that have also been opposed to austerity,” said Mujtaba Rahman, a former European Union official who is now director of European analysis at the Eurasia Group in London. “For very different reasons, each of these individual states has come out essentially in alliance with Germany.”

That leaves Europe’s most indebted nation “up against an axis, with Spain and Portugal at the vanguard,” Greek Prime Minister Alexis Tsipras said last month. The remarks drew a hostile response from Spanish Economy Minister Luis de Guindos, who also expressed unhappiness after Monday’s talks.

Sometimes, Greek ministers’ “messages aren’t very aligned,” de Guindos said after the discussions. “The Greek government is aware of that.”

http://www.bloomberg.com/news/artic...eality-clashes-with-euro-area-losing-patience

alternative reality... you can say that again
 

NSSVO

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This is a good and bad thing for me :laugh:. My COLA took a hit, but I have to pay bills basically in Dollar now. It's 1=.91. :laff: Oh well I'm leaving this month.
 

88m3

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Anger at Greece's Threat to Unleash Wave of Migrants and 'Jihadists' if Europe Leaves it in Crisis

By Mike Meehall Wood

March 11, 2015 | 6:40 am
Germany has responded with outrage to a threat by Greek ministers to unleash a flood of migrants and jihadists upon Europe — and particularly Berlin — should the EU fail to help Greece out of its economic crisis, with politicians and security officials branding the remarks irresponsible and "racist."

Greek Defense Minister Panos Kammenos, leader of the right-wing, anti-austerity Independent Greeks (ANEL), the junior coalition partner to Prime Minister Alexis Tsipras' Syriza, warned of "a wave of millions of economic migrants" who could potentially enter the European Union via Greece if their relationship with the bloc was to falter.

Kammenos' comments specifically targeted Berlin, one of the main sources of resistance to any forgiveness on Greece's international debt, or to dropping the austerity demands attached to its 320 billion euro ($339bn) bailout. He told a meeting of party activists in Athens on Monday that "If they deal a blow to Greece, then they should know the the migrants will get papers to go to Berlin." He also raised the specter of terrorism, saying: "If Europe leaves us in the crisis, we will flood it with migrants, and it will be even worse for Berlin if in that wave of millions of economic migrants there will be some jihadists of the Islamic State too."

Related: The Building Blocks of Fortress Europe: How EU Policy Is Failing Record Numbers of Migrants. Read more here.

The Schengen agreement, which means passports are not required to travel through much of the EU, left members states exposed, he suggested. "If they strike us, we will strike them. We will give to migrants from everywhere the documents they need to travel in the Schengen area, so that the human wave could go straight to Berlin."

Last week, Nikos Kotzias, the Greek foreign minister and a leftist nominated by Syriza, madesimilar comments, telling a meeting of EU counterparts that if a solution to the crisis over the country's bailout was not found and it was forced out of the eurozone "there will be tens of millions of immigrants and thousands of jihadists" entering the rest of the union.

The allusion to an Islamic State presence in refugee movements across Europe has been widely condemned in Germany. "The statements of the Greek defense minister are inexcusable and should never be tolerated in any form on the political stage in Europe." Hakan Tas, a Berlin state senator and spokeperson on refugee issues for the left wing party Die Linke, told VICE News, branding Kammenos' words "racist." Meanwhile a spokesperson for the interior ministry said there was no evidence that Islamic State jihadists were present among migrants arriving in Europe.

Johannes Kahrs, a member of the center-left Social Democratic Party (SPD) — a coalition partner to Chancellor Angela Merkel's Christian Democratic Union (CDU) described the comments as insupportable and counter-productive, suggesting they would only harm Greece's cause. Roderich Kiesewetter of the CDU, a member of the German Parliamentary Committee for Foreign Affairs, was quoted in local media as saying the threat was " absolutely unacceptable." He also raised the prospect of excluding Greece from the Schengen Area as "a last resort."

The war of words comes at a time when Greece's position in the EU is on a knife edge. Finance ministers in Brussels are currently thrashing out the terms of the next Greek bailout, which is due to expire at the end of March. Greece's debt amounts to 175 percent of its annual GDP, and it must pay back at least 6.9 billion euros ($7.2bn) by the end of March to avoid a default.

Tsipras's government has also clashed with Brussels over migration policies, particularly the rule that migrants are the responsibility of the member state in which they arrive. Greece's border with Turkey is a main entry point into the Schengen Area, particularly for arrivals from Asia and the Middle East. A large number of incoming migrants are in fact fleeing the Islamic State, whose rise to power in parts of Syria and Iraq has driven a humanitarian crisis. An estimated 200,000 people have fled the region since the start of the Syrian conflict in 2011. Germany accepts the largest number of Syrian refugees within the EU, pledging in 2014 to take 30,000, more than the rest of the EU combined.

Kammenos' Independent Greeks are the minority grouping within the Greek government, which is dominated by the far-left Syriza, which has promised to reform previously harsh regulations regarding non-EU migrants in Greece and close detention centers for asylum seekers.

Refugee camps and detention centers crowd some Greek port cities, and as recently as December, large numbers of Syrian refugees were on hunger strike in Syntagma Square, directly opposite the Greek parliament, in protest at their treatment at the hands of the previous center-right government. A Syriza member of parliament (MP) joined the hunger strike, in December and the leftists' victory in January has ameliorated the situation for refugees slightly. But they still face regular attacks from the neo-Nazi Golden Dawn group which is active on the streets, and which received 6.3 percent of the vote in the January elections. The United Nations has criticized Greece's treatment of migrants, referencing poor conditions in detention centers and incidents of police violence.

The deputy interior minister, Yiannis Panousis, has also raised the prospect of sending 300,000 to 500,000 migrants into the rest of Europe if Greece does not get more EU help to cope with arrivals, Rainer Wendt, the President of German Police Union, responded by calling for Greece to be excluded from the Schengen area, and described Panousis' comments as "the talk of political extremists". He had words of derision for the new Greek administration, calling it a "political amateur theater group" rather than "a serious government."

The Greek warnings have also rattled officials in Brussels, with the European Commission last week asking for assurances "that no measures to open up detention centers are being taken." Last Tuesday, a senior Greek police officer did in fact issue an order to release migrants from detention centers and open up the country's borders, but Panousis quickly quashed the decree and ordered an inquiry, suggesting it was a plot by conservative opponents to destabilize the ruling coalition. However, he added the government might still close the centers, but only "when there is a firm political decision to act."

The level of migration to Germany has also been a contentious political issue in the last year, with thousands joining far-right street protest movement PEGIDA (Patriotic Europeans Against the Islamization of the West). Khaled Idris Bahray, an Eritrean asylum seeker, was murdered in Dresden after a 25,000 strong march by the group, leading many to link the murder to the rising strength of the far-right in Germany. Many thousands more, including Merkel herself, were involved in counter-protests and anti-fascist movements against PEGIDA all over Germany, which Kammenos' comments are sure to intensify.

https://news.vice.com/article/anger...ope-leaves-it-in-crisis?utm_source=vicenewsfb
 

CHL

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Anger at Greece's Threat to Unleash Wave of Migrants and 'Jihadists' if Europe Leaves it in Crisis

By Mike Meehall Wood

March 11, 2015 | 6:40 am
Germany has responded with outrage to a threat by Greek ministers to unleash a flood of migrants and jihadists upon Europe — and particularly Berlin — should the EU fail to help Greece out of its economic crisis, with politicians and security officials branding the remarks irresponsible and "racist."

Greek Defense Minister Panos Kammenos, leader of the right-wing, anti-austerity Independent Greeks (ANEL), the junior coalition partner to Prime Minister Alexis Tsipras' Syriza, warned of "a wave of millions of economic migrants" who could potentially enter the European Union via Greece if their relationship with the bloc was to falter.

Kammenos' comments specifically targeted Berlin, one of the main sources of resistance to any forgiveness on Greece's international debt, or to dropping the austerity demands attached to its 320 billion euro ($339bn) bailout. He told a meeting of party activists in Athens on Monday that "If they deal a blow to Greece, then they should know the the migrants will get papers to go to Berlin." He also raised the specter of terrorism, saying: "If Europe leaves us in the crisis, we will flood it with migrants, and it will be even worse for Berlin if in that wave of millions of economic migrants there will be some jihadists of the Islamic State too."

Related: The Building Blocks of Fortress Europe: How EU Policy Is Failing Record Numbers of Migrants. Read more here.

The Schengen agreement, which means passports are not required to travel through much of the EU, left members states exposed, he suggested. "If they strike us, we will strike them. We will give to migrants from everywhere the documents they need to travel in the Schengen area, so that the human wave could go straight to Berlin."

Last week, Nikos Kotzias, the Greek foreign minister and a leftist nominated by Syriza, madesimilar comments, telling a meeting of EU counterparts that if a solution to the crisis over the country's bailout was not found and it was forced out of the eurozone "there will be tens of millions of immigrants and thousands of jihadists" entering the rest of the union.

The allusion to an Islamic State presence in refugee movements across Europe has been widely condemned in Germany. "The statements of the Greek defense minister are inexcusable and should never be tolerated in any form on the political stage in Europe." Hakan Tas, a Berlin state senator and spokeperson on refugee issues for the left wing party Die Linke, told VICE News, branding Kammenos' words "racist." Meanwhile a spokesperson for the interior ministry said there was no evidence that Islamic State jihadists were present among migrants arriving in Europe.

Johannes Kahrs, a member of the center-left Social Democratic Party (SPD) — a coalition partner to Chancellor Angela Merkel's Christian Democratic Union (CDU) described the comments as insupportable and counter-productive, suggesting they would only harm Greece's cause. Roderich Kiesewetter of the CDU, a member of the German Parliamentary Committee for Foreign Affairs, was quoted in local media as saying the threat was " absolutely unacceptable." He also raised the prospect of excluding Greece from the Schengen Area as "a last resort."

The war of words comes at a time when Greece's position in the EU is on a knife edge. Finance ministers in Brussels are currently thrashing out the terms of the next Greek bailout, which is due to expire at the end of March. Greece's debt amounts to 175 percent of its annual GDP, and it must pay back at least 6.9 billion euros ($7.2bn) by the end of March to avoid a default.

Tsipras's government has also clashed with Brussels over migration policies, particularly the rule that migrants are the responsibility of the member state in which they arrive. Greece's border with Turkey is a main entry point into the Schengen Area, particularly for arrivals from Asia and the Middle East. A large number of incoming migrants are in fact fleeing the Islamic State, whose rise to power in parts of Syria and Iraq has driven a humanitarian crisis. An estimated 200,000 people have fled the region since the start of the Syrian conflict in 2011. Germany accepts the largest number of Syrian refugees within the EU, pledging in 2014 to take 30,000, more than the rest of the EU combined.

Kammenos' Independent Greeks are the minority grouping within the Greek government, which is dominated by the far-left Syriza, which has promised to reform previously harsh regulations regarding non-EU migrants in Greece and close detention centers for asylum seekers.

Refugee camps and detention centers crowd some Greek port cities, and as recently as December, large numbers of Syrian refugees were on hunger strike in Syntagma Square, directly opposite the Greek parliament, in protest at their treatment at the hands of the previous center-right government. A Syriza member of parliament (MP) joined the hunger strike, in December and the leftists' victory in January has ameliorated the situation for refugees slightly. But they still face regular attacks from the neo-Nazi Golden Dawn group which is active on the streets, and which received 6.3 percent of the vote in the January elections. The United Nations has criticized Greece's treatment of migrants, referencing poor conditions in detention centers and incidents of police violence.

The deputy interior minister, Yiannis Panousis, has also raised the prospect of sending 300,000 to 500,000 migrants into the rest of Europe if Greece does not get more EU help to cope with arrivals, Rainer Wendt, the President of German Police Union, responded by calling for Greece to be excluded from the Schengen area, and described Panousis' comments as "the talk of political extremists". He had words of derision for the new Greek administration, calling it a "political amateur theater group" rather than "a serious government."

The Greek warnings have also rattled officials in Brussels, with the European Commission last week asking for assurances "that no measures to open up detention centers are being taken." Last Tuesday, a senior Greek police officer did in fact issue an order to release migrants from detention centers and open up the country's borders, but Panousis quickly quashed the decree and ordered an inquiry, suggesting it was a plot by conservative opponents to destabilize the ruling coalition. However, he added the government might still close the centers, but only "when there is a firm political decision to act."

The level of migration to Germany has also been a contentious political issue in the last year, with thousands joining far-right street protest movement PEGIDA (Patriotic Europeans Against the Islamization of the West). Khaled Idris Bahray, an Eritrean asylum seeker, was murdered in Dresden after a 25,000 strong march by the group, leading many to link the murder to the rising strength of the far-right in Germany. Many thousands more, including Merkel herself, were involved in counter-protests and anti-fascist movements against PEGIDA all over Germany, which Kammenos' comments are sure to intensify.

https://news.vice.com/article/anger...ope-leaves-it-in-crisis?utm_source=vicenewsfb
:mindblown:
 

CHL

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Deadlock over Greek debt crisis could play into Russia's hands
As Alexis Tsipras courts both Angela Merkel and Vladimir Putin, diplomats fear the country’s economic woes are spiralling into a potential geopolitical threat



Alexis Tsipras meets Victoria Nuland in Athens. Photograph: Orestis Panagiotou/EPA
Helena Smith in Athens

Wednesday 18 March 2015 06.29 AEDTLast modified on Wednesday 18 March 2015 11.06 AEDT

Greece’s battle to stay solvent and in the eurozone is becoming a game of dangerous brinkmanship. Beyond the war of words between Athens and Berlin, the dark arts of diplomacy are also being played.

On Tuesday, only hours after Greece’s leftist-led government announced that the prime minister, Alexis Tsipras, had accepted an offer by the German chancellor, Angela Merkel, to visit Berlin, it was revealed that he would also be making a similar tour to Moscow. “The prime minister will visit the Kremlin on 8 April after being invited by the Russian president, Vladimir Putin,” his office said.

Before the sun had set over the Acropolis, the top US diplomat Victoria Nuland had waded in, holding talks with Greece’s foreign minister, Nikos Kotzias, in Athens.
Nuland, who is assistant secretary of state for European and Eurasian affairs, flew into the capital amid mounting US concerns that the great euro debt crisis has begun to pose a geopolitical threat. Allowed to veer out of control, Greece could end up in the ambit of Russia, financially bereft and without the EU links that keep it bounded to the west. Nato’s south-eastern flank would be immeasurably weakened at a time of mounting global security worries over Islamic fundamentalists in the Middle East.

Under Tsipras’s steely leadership, the country has worked hard to stoke such fears. Exploiting his far-left Syrizaparty’s traditionally good ties with Moscow, the young leader has allowed his ministers to suggest openly that they would turn to Moscow as a strategic protector in the event of Athens being ejected from the 19-nation currency bloc. Russia, in turn, has said it would happily consider a Greek request for aid – despite its own financial woes – should its fellow Orthodox state ask.

“We want a deal with creditors,” asserted Panos Kammenos, the rightwing nationalist who leads the ruling coalition’s small Independent Greeks party. “But if there is no deal, and if we see that Germany remains rigid and wants to blow Europeapart, then we will have to go to plan B.”
As negotiations with Brussels and Berlin have become ever more tortuous, Kotzias has increasingly played up Athens’ geostrategic role. Creditors, he recently warned, would cut off Greece at their peril. “There will be millions of immigrants and thousands of jihadis flocking to Europe if the Greek economy collapses,” he told EU counterparts 10 days ago. “There is no stability in the western Balkans and then we have problems in Ukraine, Syria, Iraq and north Africa.”

Seasoned euro crisis watchers fear that in his bid to extract concessions over the country’s monumental debt, Tsipras is overplaying his hand.

Almost six years into the crisis, patience with Greece among voters in Europe’s northern climes – and especially in Germany, the biggest contributor to the €240bn bailout programme propping up the Greek economy – is wearing thin. Tsipras’s desire to find a political solution when he meets Merkel next week – one that would focus less on figures than reforms – already smacks of evasion for austerity hawks who believe fiscal rectitude is the only way forward for Europe’s most indebted state.

Fears of Greek isolation were highlighted on Tuesday when the chairman of the euro group of finance ministers warned that capital controls, or even a Cyprus-style bailin of banks, was not beyond the realms of probability if progress was not made. Unable to tap international markets, the cash-strapped Greek state has reached breaking point.

Amid the shrillness and shouting, Washington worries Europe may be losing the wood for the trees. Diplomats hate unpredictability. But against a backdrop of growing speculation over Athens’ ability to remain in the euro, there are rising fears that Moscow has identified Greece as a potential Trojan horse.

“Russia has a great interest in seeing the Greek crisis turn for the worse,” said Dimitris Keridis, a professor of political science at Athens’ Panteion University. “It is very supportive of the drachma lobby precisely because a Greek exit from the euro [Grexit] would hurt the eurozone, weaken Europe and de-link Greece from the west. Russia does not want a united, strong Europe because it sees it as a potential geopolitical threat.”

US diplomats fear that the hard line creditors are taking could backfire. Too much attention, they say, is being paid to the pressure of bailout concerns at the expense of geopolitical power and the influence that Greece exerts at the crossroads of east and west. Regionally, few places are as important as the southern island of Crete, home to facilities that provide command control and logistics support to US and Nato operating forces.

If Athens were to turn its back on the west, Turkey could be next. “Greece is much more important than people think,” the former US ambassador to Greece, Daniel Speckhard, told a recent edition of Fortune magazine. “The conventional wisdom is now that we can allow a Grexit and just cauterise the wound, but it’s not that simple.”
 
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