Martín Guzmán and Yanis Varoufakis, former Greek Finance Minister, in a debate on how to renegotiate debt

The Kirchner Cultural Center (CCK) It is the center of the debate between the Minister of Economy, Martin Guzman, the former Finance Minister of Greece, Yanis Varoufakis, and the former Minister of Knowledge and Human Talent of Ecuador, Andres Arauz, on how to renegotiate a debt.

“How to get out of the eternal debt trap”, is the title of this talk that takes place this Sunday, October 24 from 3:00 p.m., with the moderation of Luci Cavallero, from Not one less, and Mario Santucho, from Crisis Magazine.

“Many times there are those who set Greece as an example of what is right, with a monetary fiscal adjustment and showing discipline. The answer we give them is, in the middle, what happens with poverty, with opportunities? That has happened many times, and that is what our government proposed when we assumed: not to assume that path, “said Guzmán.

“In April 2018 is when everything is triggered, when it becomes clear that this economic model did not work, and the vulnerability of that model. Absolute irresponsibility, something that our political force would never do ”, said the Minister of Economy about the loan taken from the IMF during the administration of Cambiemos.

In relation to the so-called “investment rain” that would come according to the expectation of the previous government, he said: “The only rain there was from speculative capital. “

In Guzmán’s words, “ending dependence on the International Monetary Fund is an act of sovereignty.” And he also assured that the loan assumed in 2018 “was a political loan, absolutely.” “The Fund is not going to recognize it, neither is the United States. The IMF financed Macri’s campaign, now the Argentines are paying for Macri’s campaign,” he said.

In negotiating with creditors, he said, there is “Great lobbying power.” “An international debt negotiation is a geopolitical negotiation: with private creditors it is one thing, with the Monetary Fund it is another.”

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Varoufakis, now 61 years old, defined himself in 2015 as “a liberal Marxist, Minister of Economy of a bankrupt country” and many considered him the man who could save Greece, burdened by the economic crisis and foreign debt.

Raised in a red family, with his father incarcerated as a communist in the late 1940s, he had graduated from the University of Essex and later became a professor at Cambridge. However, when Thatcher won her third election in 1987, Varoufakis left England for Sydney and began publishing scholarly texts, until 2010, when Greek Prime Minister Georgios Papandreou begged the European Union and IMF for bailout. It was then that Varoufakis outlined his “master plan” to get out of the crisis, so his posts became a proposal to solve the European crisis and the book he wrote with James Galbraith and Stuart Holland was a success.

He proposed that the European Union absorb the debt of the peripheral countries and argued that the Greek crisis was not due to excessive spending, but to contracting an illegitimate debt and then the adjustment policies that followed the contraction of that debt.

That vision made President Alexis Tsipras, leader of the Radical Left (Syriza), summon him as minister in January 2015, but in Europe they had little sympathy: Merkel described him as a populist and others as a demagogue. Christine Lagarde herself, then head of the IMF, greeted him saying “Hello, you must love this moment. The head of the criminals shaking hands with the other side ”.

Months earlier, he had said that Greece should stop imitating Sisyphus, that is, carrying the heavy stone of austerity up the same mountain every day.

When in that same 2015 triumphoh andl “No” in the referendum on the proposal of the Greek creditors, Varoufakis submitted his resignation.

He said then that it was his duty “to help President Tsipras to take advantage of the decision that the Greek people had voted in the referendum” and as some members of the Eurogroup and their desire my ‘absence’ in the meetings, I present my resignation from the position of Minister of Finance ”, he pointed out.I take with pride the hatred that the creditors profess to me ”, indicated when leaving.

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