Cancel Greek Debt civil society letter to EWG and Eurogroup
19 May 2016 by CADTM , War on Want , Eurodad , Jubilee Debt Campaign , CNCD , Ecologistas en acción , Debt and Development Coalition Ireland , Bretton Woods Project , Attac Finland , Attac Ireland , Both Ends , Ekumenická Akademie , Enabanda , Erlassjahr.de , Entwicklung braucht Entschuldung , European Network on Debt and Development , European Information Human Rights Centre , Společenství Práce a Solidarity , Zukunftskonvent
CC - Dennis Jarvis
For the attention of members of the Eurogroup and the Eurogroup Working Group,
In autumn last year, some of our organisations handed over a petition supported by 53 organisations in 15 European countries and signed by over 100,000 individuals calling for the cancellation of Greek debt. It also called for an end to forced austerity policies, and new global rules to resolve debt crises promptly, fairly and with respect for human rights. We are therefore glad to see that addressing the Greek debt problem has finally been placed on the agenda. We are, however, concerned about the draft proposals that were presented at the last Eurogroup meeting on May 9th. The debt reprofiling measures outlined do not go far enough to solve the Greek debt problem in a speedy and sustainable manner. The so-called contingency mechanism sidelines democratic decision-making procedures and would trigger a dangerous downward spiral when Greece is hit by economic shocks.
Furthermore, the three-pronged approach of different reprofiling options, including maturity extensions, is postponing the actual solution to the Greek debt crises until the distant future. We do not believe that this delay is in the best interest Interest An amount paid in remuneration of an investment or received by a lender. Interest is calculated on the amount of the capital invested or borrowed, the duration of the operation and the rate that has been set. of any legitimate party involved. On the contrary, this operation threatens to become another case of politically motivated procrastination, of “too little – too late” debt restructuring. Such procrastination has already caused a lot of harm in Greece, as well as in other debt crises around the globe.
The evidence from developing countries’ debt crises since the 1980s is that attempts to address debt overhangs through debt reprofiling have left countries burdened with unsustainable debts and have led to lost decades for development. Only actual haircuts managed to resolve the debt overhangs and restore growth. It is fair to conclude that the situation will not be different when it comes to Greece. We therefore reiterate our call that the major share Share A unit of ownership interest in a corporation or financial asset, representing one part of the total capital stock. Its owner (a shareholder) is entitled to receive an equal distribution of any profits distributed (a dividend) and to attend shareholder meetings. of Greek debt must be cancelled.
It is indeed unfortunate that the burden of such an operation might fall on the European taxpayers. This is obviously a consequence of previous decisions to move formerly private debt to public balance
Balance
End of year statement of a company’s assets (what the company possesses) and liabilities (what it owes). In other words, the assets provide information about how the funds collected by the company have been used; and the liabilities, about the origins of those funds.
sheets, to bailout banks with public monies. Several studies, most recently one by the European School of Management and Technology in Berlin, found that 95% of Troika
Troika
Troika: IMF, European Commission and European Central Bank, which together impose austerity measures through the conditions tied to loans to countries in difficulty.
IMF : https://www.ecb.europa.eu/home/html/index.en.html
loans have been used to repay old loans and bailout banks across Europe and even outside Europe. Given that, it is illegitimate to demand that the burden of repayment should be borne by the Greek citizens.
We, however, share the position expressed by several Finance Ministers that the Greek debt crisis should be solved in a way that minimises the costs for European taxpayers and public budgets. Therefore, we would also like to reiterate our call that money must be recovered from the banks which benefitted from the bailouts, in order to compensate the European financial instruments Financial instruments Financial instruments include financial securities and financial contracts. and finance the debt cancellation. The EWG (European Working Group) should immediately start to develop a technical proposal for this recovery operation.
We trust that the EWG will develop, and that the Eurogroup will endorse, a solution to the Greek debt crisis that reflects the EU’s core values, that respects democracy, promotes convergence and cohesion, and ensures human rights for all.
Yours sincerely
Attac Finland, Attac Ireland, Both Ends, Bretton Woods Project, CADTM - Committee for the Abolition of illegitimate Debts, Centre national de coopération au développement CNCD-11.11.11, Debt and Development Coalition Ireland, Ecologistas en Acción, Ekumenická Akademie, Enabanda, Erlassjahr.de – Entwicklung braucht Entschuldung, Eurodad - European Network on Debt and Development, European Information Human Rights Centre, Jubilee Debt Campaign UK, Společenství Práce a Solidarity, War on Want, Zukunftskonvent
Other articles in English by CADTM (97)
Political situation in Sri Lanka, India, Pakistan, Bangladesh, microcredit, IMF
Success of the 9th CADTM South Asia seminar in Colombo (Sri Lanka)21 December 2022, by CADTM , Maxime Perriot
-
Financing the 30x 30 agenda for the Oceans: Debt for Nature swaps should be rejected
16 December 2022, by CADTM , Collective
Declaration / Statement
Why the CADTM disputes the “Swapping public debt for climate action" proposal14 December 2022, by CADTM
EXECUTIVE SUMMARY
Africa : the unsustainable burden of debt and how to get out of it9 December 2022, by CADTM
-
Colombo Declaration
4 December 2022, by CADTM
Sign on statement
Roundtable on Sustainable Palm Oil (RSPO): 19 years is enough2 December 2022, by CADTM , Collective , GRAIN , Friends of the Earth
-
CADTM South Asia workshop
25 November 2022, by CADTM
-
The CADTM participates in the European Summer University 2022, in Mönchengladbach, from 17 to 21 August
17 August 2022, by CADTM
-
Mexico: Success for the CADTM international network
28 May 2022, by CADTM
-
Immediately cancel Mozambique and Southern Africa’s debt!
6 February 2022, by CADTM
Other articles in English by War on Want (2)
-
The Maghreb seminar proclaims: “No to colonial agreements, for the defence of people’s sovereign right on their agricultural, food and environmental systems.”
19 February 2018, by War on Want
-
Dogmatic Development: Privatisation and conditionalities in six countries
7 April 2004, by War on Want , PSIRU
Other articles in English by Eurodad (17)
-
History RePPPeated II : Why Public-Private Partnerships are not the solution
5 December 2022, by Collective , Eurodad , Afrodad , Latindadd , ODG (Observatorio de la Deuda en la Globalización)
-
[Video] Illegitimate debt and debt audits | Overview of debt in Asia
3 June 2021, by Eric Toussaint , Iolanda Fresnillo , Eurodad , Daniel Jeong-Dae Lee , Kjetil Abildsnes
-
Debt relief & the Paris Club historical perspective | Overview of debt in Africa
19 May 2021, by Eurodad , Rémi Vilain , Jaime Atienza , Tirivangani Mutazu , Muchimba Siamachoka
Left in the lurch
Debt and Covid-19 in Ecuador, Kenya, Pakistan, the Philippines and Zambia3 May 2021, by Eurodad
-
The Pandemic Papers: Reviews of Covid-19’s impact on debt and development finance
30 April 2021, by Eurodad
-
Dam debt: Understanding the dynamics of Suriname’s debt crisis
22 January 2021, by Eurodad , Daniel Munevar
-
A debt moratorium for Low Income Economies
27 March 2020, by Eurodad , Daniel Munevar
-
Out of service: How public services and human rights are being threatened by the growing debt crisis
25 February 2020, by Iolanda Fresnillo , Eurodad
-
History RePPPeated: How public private partnerships are failing
24 October 2018, by Collective , Eurodad , Latindadd , ODG (Observatorio de la Deuda en la Globalización)
-
Debt justice prevails at the Belgian Constitutional Court: Vulture funds law survives challenge by NML Capital
6 June 2018, by Eurodad , CNCD , Antonio Gambini , Bodo Ellmers
0 | 10
Other articles in English by Jubilee Debt Campaign (39)
-
G20 initiative leads to less than a quarter of debt payments being suspended
14 October 2021, by Jubilee Debt Campaign
-
Poor countries cut public spending, debt payments trebled
17 January 2020, by Jubilee Debt Campaign
-
Crisis deepens as global South debt payments increase by 85%
9 April 2019, by Jubilee Debt Campaign
-
Mozambique needs urgent action on debt crisis following Cyclone Idai
22 March 2019, by Jubilee Debt Campaign
-
Mozambique files case against Credit Suisse in the UK
1 March 2019, by Jubilee Debt Campaign
-
Climate scheme hands $105 million profit to global insurance industry
27 November 2018, by Jubilee Debt Campaign
-
African governments’ debt payments double in just two years
8 October 2018, by Jubilee Debt Campaign
-
Developing country debt payments increase by 60% in three years
22 March 2018, by Jubilee Debt Campaign
-
The case for a household debt jubilee
7 March 2018, by Jubilee Debt Campaign , Sarah-Jayne Clifton , Damon Gibbons
-
10 key facts about debt in the UK
15 November 2017, by Jubilee Debt Campaign , Tim Jones
Other articles in English by CNCD (2)
-
Debt justice prevails at the Belgian Constitutional Court: Vulture funds law survives challenge by NML Capital
6 June 2018, by Eurodad , CNCD , Antonio Gambini , Bodo Ellmers
-
CNCD, CADTM and 11.11.11 Against Vulture Funds
29 September 2016, by CNCD
Other articles in English by Debt and Development Coalition Ireland (2)
-
From Puerto Rico to the Dublin Docklands, Vulture funds and debt in Ireland and the Global South
27 March 2017, by Debt and Development Coalition Ireland
-
A Global Justice Perspective on the Irish EU-IMF Loans: Lessons from the Wider World
23 December 2010, by Debt and Development Coalition Ireland
Other articles in English by Bretton Woods Project (26)
-
Argentine civil society denounces new IMF agreement as illegitimate
9 April 2022, by Bretton Woods Project
-
Death of Doing Business Report greatly exaggerated as World Bank announces rebranding plans
10 December 2021, by Bretton Woods Project
-
IMF’s continued VAT push inconsistent with rhetoric on progressive taxes
6 January 2021, by Bretton Woods Project
-
G20 debt proposal continues to favour creditors
14 December 2020, by Bretton Woods Project
-
IMF and World Bank complicit in ‘austerity as new normal’, despite availability of alternatives
12 February 2020, by Bretton Woods Project
-
World Bank’s women entrepreneur initiatives just “smoke and mirrors”
30 August 2019, by Bretton Woods Project
-
Ukraine: Between a rock and IMF conditionality
16 October 2018, by Bretton Woods Project
-
Greece exits loan programme as impacts of Troika-led austerity are revealed
9 October 2018, by Bretton Woods Project
-
The political cost of IMF programmes
17 August 2018, by Bretton Woods Project
-
As World Bank signals end of extraction finance, CSOs call for end to its other fossil fuel funding
10 April 2018, by Bretton Woods Project
Other articles in English by Erlassjahr.de (2)
-
Global Sovereign Debt Monitor 2022
4 April 2022, by Erlassjahr.de , MISEREOR
-
Global Sovereign Debt Monitor 2019
29 May 2019, by Erlassjahr.de , Jürgen Kaiser
-
Statement by academics on dealing with Sri Lankan debt
9 January - Collective -
Why the CADTM disputes the “Swapping public debt for climate action" proposal
14 December 2022 - CADTM -
CADTM South Asia workshop
25 November 2022 - CADTM -
Activists Disrupt Meeting to Demand ’Loan Sharks’ IMF and World Bank Cancel All Debt
13 October 2022 - Brett Wilkins -
Global Week of Action for Justice and Debt Cancellation
10 October 2022 - Collective
-
Greece: The infamy of a predicted terrible rail disaster
6 March - Yorgos Mitralias -
The new, young and radical feminist movement, at the forefront of popular resistance in Greece!
15 December 2021 - Sonia Mitralias -
The “Hot Spring” Showed That Greeks Were Willing to Fight
9 September 2021 - Stathis Kouvelakis -
How Austerity Helped to Ignite Greece’s Historic Wildfires
22 August 2021 - Stelios Foteinopoulos -
Whose Home Is This? At Least 55,625 Properties Under the Hammer in Real Estate Auctions — and Counting
9 August 2021 - Sotiris Sideris
-
Macron’s up against the wall, let’s not let the 49.3 save him
20 March - Léon Crémieux -
The Paris Commune of 1871, banks and debt
20 March - Eric Toussaint -
Pensions: The trial of strength to make Macron give way
8 February - Léon Crémieux -
France: towards a social explosion of historic proportions!
3 February - Yorgos Mitralias -
Call for a global counter-summit of social movements to the IMF-WB Annual Meetings to be held in Marrakech from 9 to 15 October 2023
23 January - CADTM International
CADTM
COMMITTEE FOR THE ABOLITION OF ILLEGITIMATE DEBT
8 rue Jonfosse
4000 - Liège- Belgique
00324 60 97 96 80
info@cadtm.org
Newsletter