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'Tsipras has a bus full of people and has to change the wheel while driving' 'Tsipras has a bus full of people and has to change the wheel while driving'
(about 2 hours later)
“It’s all right, they can go ahead and do it now,” said Vassili Michaelides, a systems analyst, turning away from the National Bank cashpoint on Syntagma Square in central Athens with a clutch of €20 notes.“It’s all right, they can go ahead and do it now,” said Vassili Michaelides, a systems analyst, turning away from the National Bank cashpoint on Syntagma Square in central Athens with a clutch of €20 notes.
“They haven’t gone down on their knees and signed the first piece of paper they were given, like all the others. But it’s time now to bring back a deal. Because honestly, nobody here can take this for much longer.”“They haven’t gone down on their knees and signed the first piece of paper they were given, like all the others. But it’s time now to bring back a deal. Because honestly, nobody here can take this for much longer.”
After five years of savage recession and austerity that have left 26% of the workforce without a job and seen GDP shrink by a quarter, followed by six fraught months of talks aimed at securing some kind of sustainable future, Greeks are running out of patience.After five years of savage recession and austerity that have left 26% of the workforce without a job and seen GDP shrink by a quarter, followed by six fraught months of talks aimed at securing some kind of sustainable future, Greeks are running out of patience.
“We need an agreement,” said George Efstratiadis, who owns a Patras-based family firm specialising in water pumps which – after writing off €500,000 (£350,000) of bad debts and laying off half its workforce back in 2011 – has recently hired 10 new staff as business has slowly improved.“We need an agreement,” said George Efstratiadis, who owns a Patras-based family firm specialising in water pumps which – after writing off €500,000 (£350,000) of bad debts and laying off half its workforce back in 2011 – has recently hired 10 new staff as business has slowly improved.
“We just need them to seal the deal. Business needs stability, and we could live with pretty much whatever gets decided – but we just need a decision. They’re looking after the pensioners and the public-sector employers, that’s fine, that’s right – but not if it means this much uncertainty.”“We just need them to seal the deal. Business needs stability, and we could live with pretty much whatever gets decided – but we just need a decision. They’re looking after the pensioners and the public-sector employers, that’s fine, that’s right – but not if it means this much uncertainty.”
In central Athens on Friday the banks were open, the cashpoints were dispensing notes, the cafes were busy and the sesame-seed bagel stands doing a brisk morning trade. But as rumours swirled of imminent insolvency, capital controls and even bank closures by Monday, a steady stream of people – though never enough to call a queue – were taking money out of the National Bank branch.In central Athens on Friday the banks were open, the cashpoints were dispensing notes, the cafes were busy and the sesame-seed bagel stands doing a brisk morning trade. But as rumours swirled of imminent insolvency, capital controls and even bank closures by Monday, a steady stream of people – though never enough to call a queue – were taking money out of the National Bank branch.
“Yes, I’m worried,” admitted Dimitris, who works for an insurance company and – since he had just taken out €1,000 in €50 notes – was reluctant to supply a surname. “I”m worried because this is now getting very uncertain indeed. The government is not telling us what it will do, how it intends to solve this. I’m making sure I have enough for the start of next week. Just in case.” “Yes, I’m worried,” admitted Dimitris, who works for an insurance company and – since he had just taken out €1,000 in €50 notes – was reluctant to supply a surname. “I’m worried because this is now getting very uncertain indeed. The government is not telling us what it will do, how it intends to solve this. I’m making sure I have enough for the start of next week. Just in case.”
With the headline in Friday’s Kathimerini newspaper warning that the Bank of Greece had asked the European Central Bank for €3.5bn of emergency funding to offset some €3.2bn that has haemorrhaged from Greece’s largest banks since Monday, some were holding back out of principle.With the headline in Friday’s Kathimerini newspaper warning that the Bank of Greece had asked the European Central Bank for €3.5bn of emergency funding to offset some €3.2bn that has haemorrhaged from Greece’s largest banks since Monday, some were holding back out of principle.
“I don’t feel 100% secure, that’s certainly true,” said Giota Georgiades, who works for a timber and paper import agency. “But I don’t want to take all I have out of the bank. If everyone did that, the whole system would go.”“I don’t feel 100% secure, that’s certainly true,” said Giota Georgiades, who works for a timber and paper import agency. “But I don’t want to take all I have out of the bank. If everyone did that, the whole system would go.”
But like almost everyone here, Georgiades – who had withdrawn just €30, “enough for today and maybe tomorrow” – said she was confident a way out would be found from her country’s face-off with its creditors.But like almost everyone here, Georgiades – who had withdrawn just €30, “enough for today and maybe tomorrow” – said she was confident a way out would be found from her country’s face-off with its creditors.
“I am optimistic,” she said. “They will arrive at a solution, I think – it’s in no one’s interests for Greece to fall over the edge – but it had better be found soon now. It had really better be found soon. Now there is almost no more time left.”“I am optimistic,” she said. “They will arrive at a solution, I think – it’s in no one’s interests for Greece to fall over the edge – but it had better be found soon now. It had really better be found soon. Now there is almost no more time left.”
Polls suggest that as the aid-for-reforms talks drag on and the country edges ever closer to debt deadlines and an eventual default, perhaps crashing out of the eurozone in the process, a clear majority of Greeks now expect the country’s leftist-led government to reach an agreement with its lenders: its eurozone partners, the European Central Bank and the International Monetary Fund (IMF).Polls suggest that as the aid-for-reforms talks drag on and the country edges ever closer to debt deadlines and an eventual default, perhaps crashing out of the eurozone in the process, a clear majority of Greeks now expect the country’s leftist-led government to reach an agreement with its lenders: its eurozone partners, the European Central Bank and the International Monetary Fund (IMF).
Asked this week by the GPO polling firm to choose between a “bad deal” and staying in the euro, or no deal and a return to the drachma, more than 56% said they would prefer a bad deal (70% also said they believed the standoff would end with the government climbing down.)Asked this week by the GPO polling firm to choose between a “bad deal” and staying in the euro, or no deal and a return to the drachma, more than 56% said they would prefer a bad deal (70% also said they believed the standoff would end with the government climbing down.)
That leaves the prime minister, Alexis Tsipras, in “a difficult position”, said Nick Malkoutzis, who runs the news and comment website MacroPolis.That leaves the prime minister, Alexis Tsipras, in “a difficult position”, said Nick Malkoutzis, who runs the news and comment website MacroPolis.
“People like the fact that he’s stood up to the institutions,” said Malkoutzis, “that he’s saying look, this austerity programme isn’t working. But the longer this goes on, the more it looks like there might not be an agreement … The more dangerous that feels.”“People like the fact that he’s stood up to the institutions,” said Malkoutzis, “that he’s saying look, this austerity programme isn’t working. But the longer this goes on, the more it looks like there might not be an agreement … The more dangerous that feels.”
Tsipras is holding firm against a number of key reforms demanded by the lenders in exchange for the release of a remaining €7.2bn in bailout funds before the end of the month, when Greece is due to repay some €1.6bn in IMF loans.Tsipras is holding firm against a number of key reforms demanded by the lenders in exchange for the release of a remaining €7.2bn in bailout funds before the end of the month, when Greece is due to repay some €1.6bn in IMF loans.
He argues that implementing the proposals, which include cutting pensions and raising some taxes, would mean breaking his election promises and would deepen Greece’s economic and humanitarian crisis.He argues that implementing the proposals, which include cutting pensions and raising some taxes, would mean breaking his election promises and would deepen Greece’s economic and humanitarian crisis.
But his problem, Malkoutzis said, is that: “Everyone, the people, the experts, the markets, is telling him to do a deal – but no one is telling him to accept the deal that’s on the table. He’s trying to find a compromise that means people are happy because Greece stays in the euro – but not accept measures that mean he and his government will be out of office in a few months.”But his problem, Malkoutzis said, is that: “Everyone, the people, the experts, the markets, is telling him to do a deal – but no one is telling him to accept the deal that’s on the table. He’s trying to find a compromise that means people are happy because Greece stays in the euro – but not accept measures that mean he and his government will be out of office in a few months.”
Not everyone sees a deal as inevitable. Stavros Messines, who runs The Cube, a co-working space for Greek (and some foreign) tech start-ups, said he saw three possible outcomes to the standoff. “Greece could become sort of socialist-led country with its own currency, launched on a wave of popular passion after it pushes the EU to the limit,” he said.Not everyone sees a deal as inevitable. Stavros Messines, who runs The Cube, a co-working space for Greek (and some foreign) tech start-ups, said he saw three possible outcomes to the standoff. “Greece could become sort of socialist-led country with its own currency, launched on a wave of popular passion after it pushes the EU to the limit,” he said.
“Or a deal could be struck – maybe one that doesn’t particularly suit anyone, but a deal nonetheless. Or, nobody knows what the hell they’re doing and what happens, happens. I hope, I really hope, it’s the second. But there’s far too much passion, too much animosity, in this now. Everyone needs to step back, calm down.”“Or a deal could be struck – maybe one that doesn’t particularly suit anyone, but a deal nonetheless. Or, nobody knows what the hell they’re doing and what happens, happens. I hope, I really hope, it’s the second. But there’s far too much passion, too much animosity, in this now. Everyone needs to step back, calm down.”
Upstairs, Triantafyllos Xylouris, one of the young entrepreneurs behind Greece’s biggest ever app – a trivia game called Quizdom that is on 1.1m smartphones in Greece – conceded Tsipras had “a pretty impossible task”.Upstairs, Triantafyllos Xylouris, one of the young entrepreneurs behind Greece’s biggest ever app – a trivia game called Quizdom that is on 1.1m smartphones in Greece – conceded Tsipras had “a pretty impossible task”.
“He’s got a bus with a load of people, and he has to change the wheels and the engine while he’s driving it,” said Xylouris.“He’s got a bus with a load of people, and he has to change the wheels and the engine while he’s driving it,” said Xylouris.
But while austerity has “clearly been a disaster”, Xylouris felt the government, elected in January, “did not come in with a particularly clear plan of how, realistically, to get what they wanted”.But while austerity has “clearly been a disaster”, Xylouris felt the government, elected in January, “did not come in with a particularly clear plan of how, realistically, to get what they wanted”.
That uncertainty was compounded, he said, by “a simple lack of trust – you know, I think if Germany trusted Greek politicians to be sincere, honest, disciplined, there’d be no problem with a cheque for €50bn, to be spent on growth.”That uncertainty was compounded, he said, by “a simple lack of trust – you know, I think if Germany trusted Greek politicians to be sincere, honest, disciplined, there’d be no problem with a cheque for €50bn, to be spent on growth.”
But Tsipras and his party are different, said Tonia Katerini, a Syriza activist who helps run a thriving solidarity grocery store in the Exarchia district of Athens: “That’s a huge change: we have a government that cares about the situation of everyone who has been affected by austerity. They do care.”But Tsipras and his party are different, said Tonia Katerini, a Syriza activist who helps run a thriving solidarity grocery store in the Exarchia district of Athens: “That’s a huge change: we have a government that cares about the situation of everyone who has been affected by austerity. They do care.”
From where Katerini stands, the main problem with the talks so far has been that “the government has already relaxed its red lines. It’s pushing for less, on salaries, on taxes ... And it should never have tried to negotiate on their ground.From where Katerini stands, the main problem with the talks so far has been that “the government has already relaxed its red lines. It’s pushing for less, on salaries, on taxes ... And it should never have tried to negotiate on their ground.
“It should have said, right from the start, we cannot accept Greece’s debt as it is. How can we possibly increase GDP while paying back all that debt? Those repayments should be invested in the real economy, for growth.”“It should have said, right from the start, we cannot accept Greece’s debt as it is. How can we possibly increase GDP while paying back all that debt? Those repayments should be invested in the real economy, for growth.”
A clear commitment to at least discuss debt relief must be part of whatever deal Tsipras brings home, said Malkoutzis: “There’s still room for an agreement. If the lenders can make that commitment, and if a way can be found to minimise the impact of pension reforms on pensioners – that’s a deal he can sell in parliament, and to Greek society.”A clear commitment to at least discuss debt relief must be part of whatever deal Tsipras brings home, said Malkoutzis: “There’s still room for an agreement. If the lenders can make that commitment, and if a way can be found to minimise the impact of pension reforms on pensioners – that’s a deal he can sell in parliament, and to Greek society.”
“People are tired,” said Olga Zetou, who works three days a week in a bar. “People are just so tired. And getting disillusioned. I don’t know what I want any more.“People are tired,” said Olga Zetou, who works three days a week in a bar. “People are just so tired. And getting disillusioned. I don’t know what I want any more.
“I’m afraid, and I don’t even have children or a real job to worry about. Nothing is moving. Everything is frozen. And everyone feels more and more insecure.”“I’m afraid, and I don’t even have children or a real job to worry about. Nothing is moving. Everything is frozen. And everyone feels more and more insecure.”
It might almost be better, Zetou argued, to “do something really … dramatic. Because this really isn’t working. It’s better to say, ‘I divorce you’, isn’t it, than to be the one who is kicked out? We have so little left to lose.”It might almost be better, Zetou argued, to “do something really … dramatic. Because this really isn’t working. It’s better to say, ‘I divorce you’, isn’t it, than to be the one who is kicked out? We have so little left to lose.”
Her friend, Dione Davids, agreed that people are “running out of patience. We’re in limbo. Are we in, are we out? Euro or drachma? All I want is a bit of political stability, and a normal society. Not too much to ask, is it?”Her friend, Dione Davids, agreed that people are “running out of patience. We’re in limbo. Are we in, are we out? Euro or drachma? All I want is a bit of political stability, and a normal society. Not too much to ask, is it?”