Iceland an example for Greece?

“The best helmsmen are ashore,” it is obviously not difficult to imagine ideal solutions from behind the computer. Yet, with all due understanding for the difficult position the Greek government is in I propose a solution, wherein Iceland is the leading example.

After 61% of Greeks said no to debt slavery that EU and ECB wants to impose on them, there is still no clarity on what is going to happen. The Greek government is put under heavy pressure yet to agree with the terms of the EU.

Of course, a Grexit has major consequences. The country will be thrown back on themselves and the import of a range of items including medicine will be very complicated.

A bankruptcy of Greek banks and the Greek state is likely to happen. The default will cut Greece off the international money and capital markets and the Greeks lose their savings to the extent that they are still in the bank.

Od12 02 14

The Horse of Trojka (Jos Collignon February 14, 2012)


Iceland has shown that the crisis that struck in 2009, has opened a completely different and new perspective for that country.

The Icelanders have freed themselves from the dominance of the financial sector.

Iceland has told their creditors: “We’ll see later how and if we can repay our debts. At this moment we are focusing on our own productive economy, that is where the real value is created, particularly on tourism and fishing. By redeveloping our productive economy we ensure ourselves that unemployment is combated, inflation can be contained and the purchasing power of the population increases. “

Iceland was helped by the Scandinavian countries with loans that were used in part to support the productive economy and in another part to give a bail-out to citizens so that the debts weighed less heavily. Because in Iceland there is awareness that citizens who are not burdened by financial worries, can better contribute to the development of the economy.

Now, more than five years later, Iceland is in a much better position and the Icelandic economy is performing considerably better than the eurozone countries.

Iceland was not attached to the euro, like Greece is. Yet this should not be a hindrance. The Greek authorities may introduce the ‘new drachma’ and provisionally bring the coin in circulation only for domestic use. Especially for the productive economy, to finance investments and also to bring the purchasing power of the Greeks back on track. The new drachma should not be convertible into other currencies, not even in the euro. This is to protect the new drachma and the Greek economy because the ‘financial markets’ will undoubtedly play on the drachma and break the uprising Greek economy.
Tourists can pay everywhere with euros, so let’s go to Greece with our euros, then we can combine business with pleasure …




Greece can do what Iceland has done, that is find their own strength. Tourism and agriculture, for example, offer potential as long as the Greeks detach themselves from the grip of foreign companies in these sectors and also will be helped by the absence of suffocating EU legislation. The Greek state can borrow new drachma’s from the Bank of Greece, interest-free or based on low interest rates, such as Canada has done between 1937 and 1974.

And who knows, some countries will be willing to borrow hard currency to Greece – as happened in Iceland – giving the Greeks a hand to help in rebuilding their economy.

It will certainly not be an easy road, but in fact, 61% of Greeks their government has given a card blanche to not to conclude a compromise with the EU but go for the redevelopment of the productive economy. And who knows will Greece be the first interest-free economy in Europe

(C) Ad Broere

Grexit cartoon ‘Take away or eat here? “
Another great picture of Jos Collignon. He presses the insatiability of the ‘financial markets’ in an inimitable manner. The stock market may rise, the stock market may fall, our earnings will never fail. Eat as much as you can guys! Until you’re finished by a sudden cardiac arrest because the arteries are clogged for you have yourselves too long, and too much overfed. No one will mourn for you.