syn logoBudapest, 15-16 April 2011

European Left Executive Board Meeting

Contribution by Synaspismos: The situation in Greece and the EU after the introduction of the ・Pact For the EURO・


The introduction of the new ・Pact For The EURO・, after the two EU Summit meetings in 11 and 25 March, introduces a new phase of the neoliberal strategy. It is an attempt of the dominant right-wing and social-democratic forces and their alies to constitutionalize neoliberalism, reinforce the -already dead- Stability and Growth Pact. After testing their ultra-austerity plans through the implementation of four consecutive Memorandums in Greece, today they introduce this ・European Memorandum・ as the result of their experimentation.

The ・Pact For the EURO・ constitutes an authoritarian abuse of power, a European permanent austerity plan, which will mathematically lead to an unprecedented social catastrophe. Synaspismos is already demanding a Referendum in Greece. The validation of this new cornerstone plan must not be limited to a parliamentary approval by the socially alienated and de-legitimized majority of the Socialist Party (PASOK).

We believe that, in order to confront the neoliberal offensive against fundamental democratic principles and rights, the European Left must ask for Referendums in all EU countries.

The European Left must now intensify the fight for democracy in Europe for one more crucial reason: Because, another alarming fact of the crisis is that the arguments and the repressive policies of the social-democrats and the right-wing opened the way for the dramatic reinforcement of nationalist and ethnocentric approaches. The neoliberal strategy of the EU has allowed nationalism, neofascism and racism to become a part of the mainstream political agenda. We have felt it in Greece, in the Parliament, the opinion polls and the streets. In Finland, the ・True Finns・ are threatening to reach very high electoral power in the National Elections. In France, the ・National Front・ was the second electoral force in the recent Regional elections and is promoted by dominant media circles for the Presidential Elections in 2012.

Greece: One year and four Memorandums later

One year ago, the Greek government tried to brainwash the Greek society, that the agreement with the IMF was the only way out of the crisis. After the implementation of four consecutive Memorandums, all economic factors are deteriorating. Greece is unable to repay its public debt (which has now risen up to 150% of the GDP) and Papandreou's government is now speaking about the need to sign three more Memorandums until 2015!

At the same time, social disturbance and discontent continues to grow, while more social resistances are developed in a local but also national level. Many analysts and a large part of the manistream media are now referring to the possibility of going to an extra-ordinary National Election in the forthcoming months.

Synaspismos and SYRIZA put forward a project for a radical change in the balance of power. A wide political and social alliance, which will lead to a sustainable way-out of the crisis, by supporting real economy and the oppressed social classes and groups. This political and social alliance will include the whole spectrum of the Left, as well as forces that disengage from PASOK and forces coming from radical ecology. Most of all, we wish to construct an alliance which will attract all those people and groups that are today realizing the unprecedented destructive plan of the Memorandum policy. This alliance will put the alternative project into effect. We summarize this project in four minimum aims:

1. The immediate disengagement of Greece from the Memorandum of bankruptcy

2. The radical redistribution of wealth and income

The redistribution of wealth, in favor of popular classes is more than necessary, not only because this is the only way towards social justice, but also, because it is the only way to stimulate real economy, in times when unemployment is reaching 20%, youth unemployment exceeds 30%, inflation is up to 4.4% and recession has reached -6.6% (last quarter of 2010). Such a redistribution can only start happening through the just taxation of wealth and big capital owners, which today enjoy scandalous privileges.

3. The direct control and renegotiation of the sovereign debt

The restructuring of the Greek sovereign debt is almost bound to happen. The question is whether this restructuring and renegotiation of the Greek public debt will be based on the interests and orders of the lenders or on our own, social terms. We believe that the answer to this question is of crucial importance for the future of the Greek society. Synaspismos and SYRIZA demand the opening of the books, the annulation of a large part of the public debt and the improvement of the terms of repayment (interest, length of repayment period).

4. The socialization of the financial system

In the last two years, Greek private banks have been generously injected with over than 100 billion Euro in cash and guarantees by the Greek State. This amount is almost equal to the 110 billion Euro that came to Greece after the agreement with the IMF-EU-ECB Troika. Since we have already paid for the rescue of the banks, it is now high time to speak about the evident need to submit them under public and social control.

It was very important for us to realize that similar common thoughts and proposals came out of the important bilateral meeting between Bloco de Esquerda and PCP in Lisbon, which came as a result of an initiative by our comrades from Bloco de Esquerda. We salute this new step forward and we are following this process with great interest.

We wish and constantly try to stimulate such initiatives inside the Greek left. Because, if the left wishes to become the real alternative force to neoliberalism, it should overcome internal disputes and move forward with steps of unity, through the respect of the political and ideological autonomy of each side. Such a unity in action and in the parliament will not remain a sum of existing forces, but it can have multiplying effects and acquire counterhegemonic perspectives.

Yiannis Bournous
member of the CPC of Synaspismos
member of the Executive Board of the European Left