European Financial Collapse Defrauded by Foreign Banks

Greece is on the verge of collapse, which could crash the EU in a big way. Goldman Sachs helped the Grecian government cook their books in regard to their debt in order to slip into the EU, but that debt had to go somewhere. It has been slipping back onto the books over the last couple of years and will likely lead to a default, which will do massive damage to the country, probably to the EU, likely the world as well.

Goldman Sachs helped the Greek government to mask the true extent of its deficit with the help of a derivatives deal that legally circumvented the EU Maastricht deficit rules. At some point the so-called cross currency swaps will mature, and swell the country's already bloated deficit.

The only way that this will yield a positive result is if individual nations let go of globalization goals and focus on localized recoveries.

This credit disguised as a swap didn't show up in the Greek debt statistics. Eurostat's reporting rules don't comprehensively record transactions involving financial derivatives. "The Maastricht rules can be circumvented quite legally through swaps," says a German derivatives dealer.
http://www.spiegel.de/international/europe/0,1518,676634,00.html

“Greece and Ireland are among countries in an ‘intolerable’ economic situation, which may lead to bailouts or even an exit from the euro area by the end of next year, according to Standard Bank Plc…

“‘Countries like Ireland and Greece may not be able to grow out of the current crisis,’ [Steve Barrow, head of Group of 10 foreign-exchange strategy at the bank] said in a telephone interview today. ‘With interest-rate cuts, exchange-rate depreciation and significant fiscal support all off limits for these countries, bailouts or even pullouts from EMU may happen next year.’”

http://dailyreckoning.com/standard-bank-predicts-possible-greece-and-ireland-exits-from-euro-in-2010/