Russia takes advantage of EU financial crisis to provide Greece a chance to defect

Many analysts and European political leaders are merely now digesting the ramifications of Thursday's move by Switzerland to de-peg their currency from the Euro, and just what it means moving forward through out Europe that has now seen one central bank refusing to look lock-step using the ECB in their desire for a plan of Quantitative Easing. But while nations like Germany, Britain, and France take a long close look at needing to endure a place of massive money printing, over in Russia they are seeing this turmoil as an opportunity to utilize this financial crisis to place a crack within the EU coalition as on Jan. 16 the Eurasian power offered the beleaguered nation of Greece an easy method out of their own financial straits should they voluntarily leave the EU and to stay while using new Eurasian Economic Union.
Greece, along with several other European countries known in the financial world as the PIIGS (Portugal, Iceland, Ireland, Greece, and Spain), are actually at the heart from the financial issues that have plagued the European Union because the credit crisis of 2008. And even after a number of bailouts by the ECB and IMF over the past five years, Greece still remains in danger having a debt to GDP ratio close to 200%.
Interestingly enough, why is this offer incredibly enticing for Greece is a result of a closed meeting that happened on Friday between the head with the European Central Bank and leaders in Germany where discussion over a quantitative easing and bond buying program through the ECB would not include bonds or toxic assets from Greece. This of course would depart the Southern European nation unchanged, sufficient reason for financial conditions that are actually leading citizens to take part in numerous bank runs over the past a couple of days.
Economic sanctions from the U.S. against Russia are creating a lot of collateral damage in Europe, with layoffs and shutdowns occurring in industries like agriculture. Additionally, Germany's powerful business union has put immense pressure upon Chancellor Angela Merkel to deal with the ongoing sanctions since between 3000 and 5000 German businesses are already strongly impacted by Russia's retaliatory actions directed at European imports.
As the Swiss central bank proved on Thursday, nations are quickly dissolving to the point where it really is every country for itself, with this crack in what had been a good unity providing opportunities for a country like Russia to provide fuel towards the fire and potentially accelerate the breakup of the EU website coalition. And if Greece for the off chance finds this offer by Russia amenable, a full breakup of the EU is currently in play, and may also cause detrimental effects against America as the breakup of NATO along with the dollar too become real and viable options.

Leave a Reply

Your email address will not be published. Required fields are marked *