PEOPLE’S NEWS pm News Digest of the People’s Movement No. 56 21 September 2011

European Stability Mechanism of crucial importance for the future of our country. TD, Senator David Cullinane, Clare Twenty-seven members Daly TD, TD, Michael Colreavy TD, Seán call for referendum Crowe TD, TD, TD, Luke Ming Flanagan TD, Joe Higgins TD, Mary Lou The Government in the coming months will seek to McDonald TD, Finian McGrath TD, Mattie McGrath push through the Oireachtas an amendment to one TD, Sandra McLellan TD, Pádraig Mac Lochlainn TD, of the two Treaties on which the EU is based Catherine Murphy TD, Paul Murphy MEP, Caoimhghin authorising the establishment of a permanent Euro- Ó Caoláin TD, Senator Trevor Ó Clochartaigh, Aengus zone fund, the European Stability Mechanism (ESM), Ó Snodaigh TD, Maureen O’Sullivan TD, Thomas and the ratification of the Treaty that actually estab- Pringle TD, Senator , Brian Stanley TD, lishes the fund. Peadar Tóibín TD, Mick Wallace TD. The Treaty which has already been signed but not yet ratified commits the Irish State to irrevocably Government plans to publish and unconditionally contribute €11 billion in various forms of capital to the ESM when it is established in ESM bill, EU-IMF bill and 2013 and possibly further sums after that at the household charges bill behest of Eurozone Finance Ministers when contri- before the end of the year butions come up for regular review. This will have to be borrowed on the international market. The Government plans to publish a number of bills Weaker economies like Ireland would have to during the current Dáil session, including a number put up cash immediately to cover any short-fall of arising from the EU-IMF programme. paid in capital that might arise while triple A rated The Department of Finance will publish five bills economies like Germany and France would be put in the coming months. The Fiscal Responsibility Bill under less financial pressure by being able to fulfil will provide a statutory basis for a range of fiscal their obligations by way of guarantees. policy and expenditure management reform, while Assistance from the ESM will only be given on the another bill will enable Ireland to ratify the treaty basis of strict conditionality—these conditions being establishing the European Stability Mechanism. The unspecified and potentially unlimited. If the Irish European Financial Stability Facility (Amendment) State were to receive loans or grants or favourable Bill and Euro Area Loan Facility (Amendment) Bill borrowing facilities from the ESM, these conditions will enable Ireland to ratify agreed amendments to could require the introduction of a balanced budget the EFSF framework agreement and the Greek loan constitutional amendment or dropping the objection facility agreement, and will be introduced as soon as to the harmonization of corporate taxes at EU level. this week. The Treaty formally subordinates Ireland’s Among the other important bills to be published interests to those of the stability of the euro area as are two from the Department of the Environment. a whole yet there has been an almost total media The Local Government (Charges) Bill will impose an blackout on the implications and consequences of annual household charge on owners of residential the ESM for the country. properties, while the Water Services (Amendment) The support of Fianna Fáil for the Government action has further contributed to the managed Bill will establish a system for inspecting and moni- nature of the whole process. toring the performance of septic tanks and other on- The ESM is part of a package of measures that site waste-water treatment systems. can only lead to fiscal union in the EU, beginning with stricter controls on budgets and public spend- Hang our heads in shame and ing starting with the so-called Euro Plus Pact and pay the German bondholders? soon moving on to a harmonising of taxes. We believe that the legislation to enable the The EU commissioner for energy, Günther State to license its establishment and ratify the Oettinger of Germany, in an interview with the Treaty setting it up should be put to the Irish people German tabloid Bild, suggested that the flags of in a constitutional referendum and we urge the countries with excessive deficits should fly at half- Government to let the people decide on this matter mast in front of EU buildings.

1 In his comments he referred rather, additional consolidation measures will be to “deficit sinners,” who needed required to reduce it from its new level .” He argues “unconventional” treatment to that Europe’s ageing population will add still further help them mend their ways— pressures on public finances in the coming decades possibly through officials as a result of the higher costs of ageing and lower appointed by Brussels and growth as a result of the smaller number of people imposed in recalcitrant capitals. “There has been the of working age. suggestion too of flying the flags of deficit sinners at Despite multiple rounds of austerity already half-mast in front of EU buildings. It would just be a imposed, Greece for its part will see its debt burden symbol, but would still be a big deterrent.” Would climb to 166.1 per cent of GDP in 2012, up from it? Really? 157.7 per cent this year, while our own may reach Another tactic for pulling a debt-stricken country 104 per cent. out of crisis could be replacing “the obviously in- The document goes on to say that while govern- effective administrators” there, he said. Because ments can reduce debt levels through spending cuts Greek officials have failed at collecting outstanding or increasing taxes or a mixture of the two, they taxes and selling state-owned assets as planned, should embrace cuts in preference to tax increases, Oettinger alleged, experts from other EU countries as “evidence from the past shows that cuts have should be sent in to do their jobs instead. greater success, in terms of the effect that they have Oettinger later denied suggesting that the flags of on the overall public finances.” “deficit sinners” should fly at half-mast and said he The future in the EU does indeed look gloomy. was merely referring to a notion he heard in the office of a German tabloid. Asked how it had come Greek government introduces about that Oettinger made such remarks, his household tax spokeswoman said, “It just came out.” But in a letter to the president of the Commis- The Greek government has unveiled a fresh round sion, José Manuel Barroso, 151 MEPs said that of austerity measures, amounting to €2 billion, as Oettinger’s comments “imply the symbolic humili- pressure mounts on the country to deliver on its ation of European nations. Mr Oettinger should commitment to reduce its debt burden. The minis- retract and recant his words, or resign from the ter for finance, Evángelos Venizélos, described the European Commission.” moves, which will involve a new two-year house- hold tax and holding back a month’s pay from all EU Commission demands elected officials, as a new “national effort.” even further austerity “We know that these measures are unbearable,” he said. “Our immediate priority is the full respect of EU countries under market pressures must be the budget targets for 2011.” The European Com- prepared to swallow even stronger doses of mission, naturally, welcomed the announcement. austerity. Most states have slashed tens of billions from German Constitutional Court their public spending plans already, but this may not rejects challenges against be enough, according to an annual report from the bail-outs EU Commission on the state of public finances in member-states. The German Constitutional Court has ruled against  http://ec.europa.eu/economy_finance/publications/ the claims that the euro-zone bail-outs are illegal. european_economy/2011/pdf/ee-2011-3_en.pdf . However, the court stressed that the verdict The head of the Com- “should not be misinterpreted as a constitutional mission’s economy blank cheque for further aid packages.” department, Marco Buti, The court also ruled that, in order to conform to wrote in a gloomy “edi- the constitution, “the Federal Government is in prin- torial” that, “despite the ciple obliged to always obtain prior approval by the fact that a return of GDP [Bundestag] Budget Committee before giving guar- growth, a gradual with- antees.” This means that the parliamentary budget drawal of the temporary support measures and the committee will have to agree to any future bail-out start of consolidation is starting to reduce deficits, packages or use of the EFSF, the euro zone’s bail-out debt is still expected to continue increasing for the fund. This is a big change from the present situation, next year or so in most cases. where the German government needs only to reach “Once it has reached its peak, the issue is not a non-binding agreement with the budget commit- over. It will not be sufficient to stem the increase; tee over any bail-outs.

2 Additionally, the ruling seems likely to impose they’re kept in the dark about the politics of the further restrictions on Eurobonds or debt mutualis- euro crisis. ation in the euro zone. The press release states that “the Bundestag, as the legislature, is also prohibited Euro-federalists on the march! from establishing permanent mechanisms . . . which result in an assumption of liability for other states’ The German chancellor, Angela Merkel, has voluntary decisions, especially if they have conse- suggested that there may need to be a change in EU quences whose impact is difficult to calculate.” treaties to ensure fiscal discipline in the euro zone. This seems to suggest that any move towards “There is no rule so far to force the countries to Eurobonds would be unconstitutional, even with comply with the Stability and Growth Pact,” she agreement from the Bundestag, though the ruling said. “Therefore, treaty changes must not be a also hints at greater German control over the fiscal taboo in order to achieve more commitment.” policies of other states that could circumvent such She was supported by the Italian minister for legal restrictions. foreign affairs, Franco Frattini, who said: “Different  A comprehensive overview of the ruling may be found at countries have different views on European federal- www.openeurope.org.uk/research/Karlsruhefactor.pdf . ism, but Italy is ready to give up all the sovereignty necessary to create a genuine European central Irish austerity measures could government. We must work seriously towards the threaten human rights formation of a genuine European economic government.” The Council of Europe’s The chairperson of the Euro commissioner for human Group, Jean-Claude Juncker, rights, Thomas Hammar- joined the chorus, saying, “I berg, says that budget cuts wouldn’t exclude a treaty planned in Ireland “may be change in the coming months. In detrimental” to the protection of human rights. Germany there’s a growing The Government has pushed through nearly €21 awareness that treaty changes have to be billion in spending cuts and tax increases, equivalent envisaged.” to more than 13 per cent of gross domestic product He added that a change in the treaties could help (GDP). But, Hammarberg said, “it is crucial to avoid the euro zone become more flexible and respond this risk, in particular regarding vulnerable groups of better to any future crisis. people.” Juncker is considering putting forward a proposal His comments come in a report following a for a permanent head of the Euro Group, meaning recent fact-finding visit to Ireland. In the report he that he would concentrate on his role as prime calls on the Irish authorities to “refrain from adopt- minister of Luxembourg. And the outgoing managing ing budget cuts and staff reductions which would director of the European Central Bank, Jean-Claude limit the capacity and effectiveness” of institutions Trichet, chipped in, telling participants at a Paris con- designed to combat discrimination, racism, and ference that the bloc required a European “federal xenophobia. government with a federal finance minister.” The Council of Europe, based in Strasbourg, The reprobate warmongering Green, Joschka represents both EU and non-EU states and, among Fischer, capped it all, saying that “we need to hand other things, champions the rights of minority over budget prerogatives to the EU . . . We need groups. similar pension ages . . . We are going to have to draw all the threads together . . . [and] future inte- Euro rebellion heats up gration steps need a political Europe. in Germany The British chancellor of the exchequer, George Osborne, seems to agree. “I think it is on the cards For the first time ever, a clear majority (60 per cent) that there may be a treaty change imposed in the of Germans no longer see any benefits in being part next year or two,” he said, to “further strengthen of the euro zone, given all the risks, according to an fiscal integration” in the euro zone. opinion poll published on 16 September. In the age It appears that a proposal will be tabled next group 45–54 this jumps to 67 per cent. And 66 per month that would see negotiations over an EU cent reject aiding Greece and other heavily indebted treaty change launched as early as December. countries. Watch out! The Euro-federalists are on the Ominously for the chancellor, Angela Merkel, 82 march. per cent believe that the government’s crisis management is bad, and 83 per cent complain that

3 NAMA is a “laboratory” for the EU

The Fianna Fáil-Green coalition considered that NAMA “might prove to be a laboratory” for other EU states faced with banks on the brink of collapse, according to the latest diplomatic communications published by Wikileaks. Ireland’s permanent ambassador to the EU, Rory “We were told that if we refused the inter- Montgomery, made the comment to the US ambas- national community’s conditions we would become sador to Ireland at a meeting in Brussels in Septem- the Cuba of the north. But if we had accepted we ber 2009, revealing that the EU “was watching would have become the Haïti of the north.” No-one closely” the establishment of NAMA. told them there was a third option: default. In a meeting with American diplomats an execu- “During the first Icesave elections we were told tive of the Central Bank, Billy Clarke, said the guar- that if we rejected the deal to pay, all credit lines antee had to be introduced because a “perfect would stop, we’ll be isolated from international storm” of external events related to the credit crisis society, the sky would fall, and there would be chaos had dried up traditional sources of financing for Irish in the streets. This came directly from the govern- banks. Another official, Gordon Barham, said that ment ministers. When we rejected, nothing impaired assets were mostly confined to loans to happened. commercial property developers. When pressed, “Second time around, this time we had the best Barham said the media had exaggerated the prob- deal we could possibly get and it would spark an lem assets. international feud, we would go to an international A comment from an American official at the end court and be forever indebted should we reject. The of the cable accused the Irish of “being a bit optimis- finance minister did interviews warning us. tic in their assessment of the level of impaired “We rejected again. Nothing happened. And the assets.” last time I heard, we taxpayers don’t have to pay No wonder, then, that the general secretary of anything close to what was said initially, maybe the ICTU, David Begg, recently warned the nothing at all!” Taoiseach, Enda Kenny, that the EU-ECB-IMF troika The IMF report says: is using Ireland as a “social laboratory” for testing its “Over the medium term, economic policies. He pinpointed the fact that “all moderate growth is pro- the talk of reform” ignored the actions of the banks jected, led by investment that had sparked the crisis in the first place. “It and consumption. How- occurs to a lot of people that reform is for the little ever, uncertainty about the people: it is not for the powerful.” He pointed out sources of growth continues that the troika’s “economic laboratory” was using to weigh on prospects. Ireland to test its economic policies—policies that Iceland is endowed with were not “evidence-based.” abundant natural resources, but the use of these Iceland out of the woods! resources remains an issue of intense public discus- sion. There has been considerable interest in new The New York Times reports that Iceland is no longer investments in power-intensive sectors, but techni- under an IMF programme. A report from the IMF cal and financial obstacles remain a challenge.” pronounces that the “adjustment programme” was So now, what’s the difference between Iceland successful. and Ireland? The answer might be that Iceland is not  www.imf.org/external/pubs/ft/scr/2011/cr11263.pdf . completely out of the woods but is getting there. Iceland still has high unemployment and is a long Contrast Ireland, which is saddled with odious bank way from a full recovery; but it’s no longer in crisis. It debt for at least the next generation. has regained access to international capital markets, Don’t mind the ESRI! and has done all that with its society intact. And it has done it with very heterodox policies: Good riddance, Herr Stark! repudiation of debt, controls on capital, and depreciation of its currency. And it has worked. We The unwelcome intervention by Jurgen Stark, would be much happier with an unemployment rate departing member of the Executive Board of the that Icelanders consider high! European Central Bank, in Ireland’s budget debate,

4 calling on the Government to cut public-sector pay and social The national debt welfare, displayed an extra- has been audited ordinary arrogance on the part of an unelected German official. His But we still pay the bond-holders intervention met with an un- An idea borrowed from developing countries and characteristic rebuff from Éamon recently used to good effect by the Ecuadorian Gilmore that underlined the anger government has now been applied to the Irish debt. felt even in pandering Government circles. “Our Ireland has undergone its first “audit” of national agreement is with the institution,” Gilmore told debt—the results of which have been called “truly reporters. “It’s not with individuals within it.” frightening.” The report, An Audit of Irish Debt, was Since the beginning of the year Ireland’s sponsors commissioned by Afri, the Debt and Development in Europe and the IMF have approved the release of Coalition and the trade union Unite and carried out loans totalling €30½ billion. Tens of billions more are by a team from the University of Limerick. to come. Stark warned that sentiment could sud-  www.debtireland.org/resources/publications/an-audit-of- denly turn against Ireland all over again. To guard irish-debt/ against that, he said the Government should quicken The report calculates a potential national debt of its austerity drive and tackle no-go topics such as €371.1 billion. This figure includes a “conservative” public and private-sector pay and welfare entitle- estimate of the state’s contingent liabilities: money ments. In doing so may simply have been a stalking for which the state is on the hook in the event of a horse for the EU and IMF—an influential man about fresh collapse in the banking system. The €371.1 to hand in his notice. billion breaks down into €91.8 billion in direct Nevertheless, this should be a timely warning for Government debt and €279.3 billion in bank debt workers, welfare recipients, and their families, who backed by the state. must begin to resist the accelerating rounds of Dr Sheila Killian of the University of Limerick, austerity that threaten to reverse the meagre gains who led the research, said the audit “seeks to of the last couple of decades and land us back in quantify and explain Ireland’s sovereign debt, both 70s-style poverty once again. real and contingent, for which the Irish people have become responsible”. Don’t try bunga-bunga The report concludes that the “constructive with Standard and Poor’s! ambiguity” of the European Central Bank’s policy on bank bail-outs is “certainly not a concept consistent Italy is the latest country to have its sovereign debt with transparency,” and it addresses what Dr Killian rating cut, further deepening the debt crisis. The describes as “quite intricate layers of anonymity” in rating agency Standard and Poor’s cut Italy’s rating relation to bond-holders. The long-standing from A+ to A, describing the outlook for the anonymity of bond-holders “has some justification” country as “negative.” The agency cited fears over in normal circumstances; however, in times when Italy’s ability to cut state spending and bring its bond-holders have influence on policy it is “frankly finances in order. weird,” she said. Silvio Berlusconi immediately attacked S&P, The €279.3 billion in bank describing the agency’s actions as being “dictated debt includes €111 billion in more by newspaper stories than by reality.” But guaranteed deposits and bonds could there be any link to Berlusconi’s government under the Eligible Liabilities having already taken action against the agency, with Guarantee Scheme, as well as €74 billion under the the Italian police raiding the offices of S&P last Deposit Guarantee Scheme. It also includes the month? €30.9 billion in promissory notes issued to Anglo- Berlusconi’s move last week to reduce Italy’s Irish Bank, Irish Nationwide, and the EBS, outstand- deficit by €54 billion through a raft of austerity ing NAMA bonds with a nominal value of almost measures has done little to boost investor confi- €29 billion, and a net increase of €34.6 billion in the dence and is increasingly unpopular with Italians, national debt caused by emergency liquidity assist- having triggered large street protests in Rome. ance provided by the Central Bank. The figures con- tain the caveat that a large part of the €91.8 billion raised by the Government was due to the banking crisis. Explaining the genesis of the audit, Neasa Ní Chasaide of the Debt and Development Coalition said that audits were “a crucial citizens’ tool” that

5 had been used in campaigns against unjust debts in developing countries. In November 2008 Ecuador There is another way! became the first country to undertake an examina- tion of the legitimacy and structure of its foreign Cyprus, a member of the euro zone, is seeking debt. An independent debt audit commissioned by external aid in propping up its finances. But, unlike the government of Ecuador documented hundreds the EU and IMF bail-out packages, its loan is to come of allegations of irregularity, illegality and illegitimacy from Russia, with “no strings attached.” in contracts of debt to predatory international The minister of finance, Aleksei lenders. Kudrin, confirmed that Russia is at an The loans, according to the report, violated advanced stage in negotiating the Ecuador’s domestic laws, the regulations of the US rescue package with Cyprus. “Italy has Securities and Exchange Commission, and general not approached us,” he said. “Euro- principles of international law. Ecuador’s use of zone countries have not approached us in legitimacy as a legal argument for defaulting set a general . . . At the moment we are holding talks only major precedent; indeed, the formation of a debt with Cyprus. We have good progress [in the] talks. auditing commission sets a precedent in identifying They will conclude within one month.” illegitimate debt. The largest-circulation Cypriot newspaper, O Subsequently, in June 2009 Ecuador announced Fileléftheros, reported earlier that Russia will give that it had reached an agreement with 91 per cent of Cyprus a €2½ billion loan at an interest rate of 4½ creditors to buy back its debt for 35 cents in the per cent. A €1 billion tranche is to be paid in dollar. December, and two other payments are to be made If only! by March 2012. Quoted in the Financial Times on Wednesday, the Cypriot minister of finance, Kíkis Call for EU military headquarters Kazamías, said the money will be used to plug the country’s budget deficit and to help refinance matur- Five of the biggest EU countries have ing debt, €1 billion of which is due for repayment in tasked the EU high representative for early 2012. foreign affairs and security policy, He said that the deal is “a friendly agreement, Catherine Ashton, with making plans with no strings attached,” in contrast to the onerous for an EU military command centre, austerity and reform measures demanded by the EU despite British objections (and Irish and IMF from other euro-zone bail-out states. silence). Foreign ministers of the group—France, Indebted states should be made Germany, Italy, Poland, and Spain—urged Ashton to “examine all institutional and legal options available “wards” of the Commission to member states, including permanent structured or give up the euro co-operation, to develop critical CSDP [common security and defence policy] capabilities, notably a The Dutch are coming! permanent planning and conduct capability.” The Dutch government has They added: “We would appreciate [it] if you proposed that highly indebted present conclusions of the work . . . with a view to states should be put into achieving tangible results by the end of the year.” “guardianship,” with spending “Permanent structured co-operation” is an EU decisions seized from their treaty option that allows nine or more member- elected governments and placed states to press ahead on a project without the under the direct control of an others, even though it would use the structures of unelected European commis- the EU institutions. The initiative is a long-cherished sioner. If a state is unwilling to surrender its sover- one by Poland and France, which wants to go eignty in this way, then it would be forced to exit the beyond EU battle groups—temporary teams from euro. two or three EU countries ready to be sent to hot- “If a country repeatedly overspends in breach of spots at short notice—towards an EU army. EU stability pact rules, this commission overseer The United States has said in the past that it would be able to intervene directly in the running of wants the EU to do more in managing world crises. the country, in a similar way to how a court inter- But the group of five risk angering Britain, the EU’s venes in the running of a bankrupt firm put into biggest military spender, which forcefully criticised receivership. We propose to take a great new step the idea. forward by forging effective rules to be strictly enforced by an especially appointed commissioner.

6 This is how we must safeguard the heath and via- bility of the euro zone and all its members for now Will they or won’t they? and in the future.” The commissioner would be given a “ladder of Seven EU members that joined the European Union intervention,” under which the level of control of the between 2004 and 2007 are concerned about an state would be steadily ratcheted up and applied to obligation to adopt the euro under the terms of this “ward” of the EU executive. their accession and could stage referendums to The first rung of the ladder would involve an out- change their accession treaties, AFP has reported, side auditor making adjustments to spending to quoting diplomatic sources. bring down the level of the deficit. If this level of Bulgaria, the Czech Republic, Hungary, Latvia, intervention is insufficient, binding measures would Lithuania, Poland and Romania said the euro zone be imposed, or the commissioner could order a they thought they were going to join, a monetary country to cut spending or to raise taxes. union, may very well end up being a very different The last rung of the ladder would see a country union, entailing much closer fiscal, economic and placed under “guardianship.” The auditor would political convergence. then draft a budget for the country before sending it The new EU members that joined during the to the national parliament for approval. Such states, period 2004–07 are all obliged to adopt the euro described in the paper as “notorious sinners,” would under the terms of their accession treaties. Of these, also lose their voting rights in the EU, and the Slovenia, Malta, Cyprus, Slovakia and Estonia have delivery of European structural funds would be already joined the euro zone. Countries from dependent on compliance with the orders of the previous enlargement waves are not obliged to commissioner. adopt the single currency. “All seven countries agree to state that a change Croatia finalises in the euro zone’s legal status could change the con- accession negotiations ditions of their adhesion treaties,” which “could force them to stage new referenda” on adopting the Eight years after Croatia’s euro, said a diplomatic source close to the talks. initial application to join the Before the euro-zone crisis several new European Union, member- members that have been close to fulfilling the states have agreed on the Maastricht criteria for joining the euro zone, includ- wording of the 350-page treaty spelling out the legal ing Poland and Bulgaria, had set themselves obligations and rights stemming from membership. ambitious plans to speedily join the common EU Croatia will become the EU’s twenty-eighth currency. More recently, several Polish officials have member on 1 July 2013, provided ratification is com- stated that the country has shelved its plans for early pleted in all member-states by then. accession to the euro zone, until it becomes clear Unlike Bulgaria and Romania, which joined the what future should be expected for the common EU bloc in 2007 but were kept under a ”safeguard currency. clause” that could have delayed membership by one Last April, Hungary indicated that it would seek year, EU states “have full confidence in the Croatian an opt-out from the euro. More recently the Czech authorities” in tackling corruption and organised president, the Euro-critical Václav Klaus, said that crime and in upholding human rights, a source in the the EU currency club was a “failure” and that his Polish EU presidency said. country should get a permanent opt-out from its But with general elections scheduled for 4 obligation to adopt the euro. December, days before the official signing of the accession treaty, Croatian politics is already heating up, with the prime minister, Jadranka Kosor, in face- No cancer drugs saving mode after her party’s accountant was for Greek hospitals arrested for corruption. “This is an orchestrated campaign to minimise the [ruling party] HDZ’s The reality of austerity chances in the upcoming election,” she said in a The European Commission has said that its austerity press conference. “They want to create the impres- measures are not to blame for a decision by the sion that we’re all the same, that we’re all dirty, that pharmaceutical giant Roche to halt delivery of there are factions fighting amongst themselves in the cancer drugs to Greek public hospitals. In a fresh HDZ.” example of how the EU austerity measures are having an acute impact on citizens, the Swiss firm has halted shipments of cancer drugs and other medi- cines to a number of public hospitals in Greece after

7 years of unpaid debts. This podcast is from the web The company warned site of Conor McCabe, author of that Italy, Portugal and Sins of the Father, his book on Spain might be next. the background to the Irish With Greek spend- financial crisis. Conor will deliver ing on health care the Raymond Crotty Memorial accounting for 10 per cent of GDP, the EU, the IMF Lecture for 2011 in the Pearse and European Central Bank have told the govern- Centre (27 Pearse Street), ment to cut at least €310 million this year and an Dublin, at 2:30 p.m. on Saturday additional €1.43 billion in the period 2012–15. In 15 October. February this year doctors and other health-care workers marched on the Greek parliament in pro- Ireland requests protocols test over health cuts and scuffled with the police. Meanwhile the European Commission is keen to in line with second Lisbon Treaty wash its hands of the problem. “It’s a commercial referendum undertakings decision from a company,” the Commission’s  http://register.consilium.europa.eu/pdf/en/11/st13/st1318 spokesperson on health, Frederic Vincent, said. “We 1.en11.pdf . would have to see if the countries make any specific  http://register.consilium.europa.eu/pdf/en/11/st13/st1317 request if this problem is conferred to Spain, Italy, 9.en11.pdf . Portugal,” he said. It seems that the treaty changes will be imple- It’s a question of budget management by the mented under Article 48(2) the self-amending Greek authorities. “Greece has money,” he clause. explained. “The financial assistance package decided one year ago covers the financial needs of the Greek The EU in crisis state. Then how this is micro-managed is the full res- ponsibility of the Greek authorities.” He added that An important conference the case would be the same if the drugs dry up in Prospects for regaining Ireland’s Spain, Italy, and Portugal—and presumably Ireland sovereignty Friday and Saturday 7 and 8 October, in the Pearse Centre (27 Pearse The state they’re in! Street), Dublin. The emerging economies of Brazil, Russia, India, China, and South Africa—the so-called BRICS Friday 7 October, 7:30 p.m. countries—which hold huge international reserves, Was “social Europe” a con? are planning to come to the EU’s aid! Speakers: David Begg (general secretary, ICTU), Alex The Brazilian minister of finance, Guido Mantega, Gordon (general president, RMT Union). Chairperson: said that the BRICS states held a meeting on 22 Sep- Séamas Ratigan (Campaign for a Social Europe). tember to discuss the co-ordination of an EU rescue Saturday 8 October, 11 a.m. plan. “We met in Washington to decide how to help Should Ireland stay in the euro? the European Union to get out of this situation,” he Speakers: Frank Keoghan (People’s Movement), Joe said. The countries are considering substantially Higgins TD. Chairperson: Pádraig Mannion (PANA). boosting their holdings of euro-denominated bonds in their foreign exchange reserves. Saturday 8 October, 2 p.m. The EU’s emerging superstate And a fascinating overview Speakers: Roger Cole (PANA), Declan Power (security and defence journalist). Chairperson: Michael Youlton of the financial crisis (Campaign for a Social Europe). An American viewpoint Saturday 8 October, 4:15 p.m. Fred Magdoff presented a view of the European The struggle to regain Ireland’s sovereignty financial crisis at the Desmond Greaves Summer Speakers: Alex White TD, Robert Ballagh (People’s School in Dublin. Movement), speaker from Sinn Féin. Chairperson: Mick  www.irishleftreview.org/2011/09/11/fred-magdoff- O’Reilly (People’s Movement). desmond-greaves-summer-school-2011/

People’s Movement · 25 Shanowen Crescent · Dublin 9 · www.people.ie 087 2308330 · post @people.ie

8