Posted on 05/07/2016 11:15:18 AM PDT by Lorianne
Some 95 percent of the 220 billion euros disbursed to Greece since the start of the financial crisis as loans from the bailout mechanism has been directed toward saving the European banks. That means about 210 billion euros was eventually channeled to the eurozone credit sector while just 5 percent ended up in state coffers, according to a study by the European School of Management and Technology (ESMT) in Berlin.
“Europe and the International Monetary Fund have in previous years mainly saved the banks and other private creditors,” concluded the report, published yesterday in German newspaper Handelsblatt. ESMT director Jorg Rocholl told the financial newspaper that “the bailout packages mainly saved the European banks.”
The business school’s study found that 86.9 billion euros was used for the repayment of old debts, 52.3 billion for the payment of interest and 37.3 billion euros for the recapitalization of Greek banks.
The economists who took part in the study have analyzed each loan separately to established where the money ended up, and concluded that just 9.7 billion euros – less than 5 percent – actually found its way into the Greek budget for the benefit of citizens.
“This is something that everyone suspected, but few people actually knew. That has now been confirmed by the study: For six years Europe has tried in vain to put an end to the crisis in Greece through loans, and keeps demanding ever harder measures and reforms.
(Excerpt) Read more at ekathimerini.com ...
Not a surprise. The reason for the bailout is that they couldn’t keep up w/the debt payments. To keep them from going into default, more loans were given to pay the debt service.
The only real scandal here is how the greek debt got so bad to begin with.
The only real scandal is how the EU/IMF manages to keep the Greek governments compliant with the current slow torture ... but eventual bankruptcy is still unavoidable.
Too many overpaid tax eaters retiring on fat pensions in their 50s. Same as here.
Follow Iceland ... Tell bank to pound sand
[ German report: Bailout has saved banks, not Greece ]
Gee, that sounds familiar. Almost like something that happened here....
Why am I not surprised? Things are very bad down in Greece. That said, I am very proud of my cousins and what they have tried to do for the refugees from Syria!
Where do you think IMF money comes from? Why are American taxpayers bailing out German banks? That’s not a scandal?
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