Saturday , March 25 2017
Home / Spectrum / Overspending on military real cause of Greek crisis

Overspending on military real cause of Greek crisis


The truth behind the crisis in Greece is that it was caused by years of careless military spending. Even though the situation in Greece is difficult at the moment, there is hope for democratic renewal and redemption. The solution to overcome this crisis is to begin a massive disarmament programme.

Greece owes around $320 billion. Under the influence of the Troika of European Union, European Central Bank and the International Monetary Fund, Greek government must supervise more public cuts. However, austerity policy will only further damage Greek economy.

The offer of Greek Prime Minister Alexis Tsipras to raise corporation taxes instead of reducing pensions was dismissed by The Troika. Now, the people of Greece have to decide whether they are going to accept or reject a proposed referendum on the EU’s bailout terms on July 5.

In order to break away from the never-ending debt addiction that the EU creditors and the IMF have gotten this country into, Greece has to reduce military spending. This is the only way to avoid growing austerity and anti-democratic dictate.

According to the Stockholm International Peace Research Institute, Greece spends $4 billion a year on military. Germany, Netherlands and Belgium are all spending less on military than Greece.

Greece could reduce military budget by $2 billion and immediately repay its debt to the IMF. Furthermore, this could lead to 1 percent budget surplus that the Troika has set for 2015. Eventually, a new source of finance would remove any additional need for reduction of pensions and workers’ salaries.

However, it is unknown why Syriza government of Alexis Tsipras is not looking into this solution. He only offered to reduce military budget by $200 million which was refused by the IMF because its policy does not permit meddling in a country’s defense policy.

Also, people of Greece have legal and moral grounds to reject the entire debt because it is illegitimate.

It was estimated that from the start of the crisis in 2010, Greece spent $150 billion on defense which represents half of the current debt. Military spending was even involved with corruption. Formed defense minister Akis Tsochatzopoulous was imprisoned for 20 years in October 2013 because of the bribery case of $75 million.

Greece bought large amount of weapons from German and French companies and now Germany and France are biggest institutional creditors. They were all aware of the Greece’s crash course, but they did nothing to prevent it because their economy had much to gain due to profitable arms sales.

People of Greece could reestablish country’s economy if they reject the entirely artificial debt crisis. However, the country is afraid that a military coup might happen.

Even though the Troika of EU leadership, ECB and IMF won’t be happy if Greece chose to reject debt and austerity, Greek nation will regain their democracy.


Check Also

America’s nuclear bombers are old—and in desperate need of an upgrade

The US has nuclear weapons in their possession that are outdated and are in need of an …

Please support the site
By clicking any of these buttons you help our site to get better
Social PopUP by SumoMe