Greece Bailout: The Military Industry as Beneficiaries

If you think that Greece’s bailout has been about genuine reforms, think again.

As previously explained, Greece’s bailout isn’t about freeing up resources, which had been tied to the welfare state that would have been made available to private enterprise, but rather a transference to the political protected banking system and the embattled welfare based governments.

Well it figures that the military industrial complex has a hand in this too, or will be part of the beneficiary from the political deals.

Writes the Zero Hedge,

As Greek standards of living nose-dive, loans to households and businesses shrink still further, and Troika-imposed PSI discussions continue, there is one segment of the country's infrastructure that is holding up well. In a story on Zeit Online, the details of the multi-billion Euro new arms contracts are exposed as the European reach-around would be complete with IMF (US) and Europe-provided Greek bailout cash doing a full-circle into American Apache helicopters, French frigates, and German U-Boats. As the unnamed source in the article notes: "If Greece gets paid in March the next tranche of funding (€ 80 billion is expected), there is a real opportunity to conclude new arms contracts." With the country's doctors only treating emergencies, bus drivers on strike, and a dire lack of school textbooks and the country teetering on the brink of Drachmatization, perhaps our previous concerns over military coups was not so far-fetched as after the Portuguese (another obviously stressed nation), the Greeks are the largest buyers of German war weapons. It seems debt crisis talks perhaps had more quid pro quo than many expected as Euro Fighter commitments were also discussed and Greek foreign minister Droutsas points out: "Whether we like it or not, Greece is obliged to have a strong military".

Read more here

It’s a truism that in every crisis lies opportunities.

And as shown above, politicians and their cronies wield political actions, whom leverages and exploits on the crisis exceptionally well to their advantage, by gaming the system. Yet, blames will eventually be pinned on capitalism when it's about cronyism.

And since the current policy thrust by supposed rescuers ensures that the imbalances will be maintained, the current crisis will hardly be resolved but will get extended or could likely even worsen.