Rss Feed Tweeter button Facebook button Linkedin button

Skip to content

Monday, Feb 6th 2012


The Sacred Book of the Werewolf

Victor Pelevin - Faber & Faber, 2008

Towards the end of the film The Lives of Others, the dissident writer Georg Dreyman, who has out-lasted the Stasi and its state to find a comfortable perch in the new Germany, happens across his one-time persecutor from the DDR hierarchy. The impotent apparatchik can’t resist taunting Dreyman - he may now have the freedom to write whatever he likes, but is there anything left to write about?

However it may be for the Federal Republic, it’s unlikely that such a complaint would be made about post-Soviet Russia. Its people might well be longing for an era of political somnolence and economic prosperity that could offer little by way of material to Russia’s creative artists. But they have been fated to continue living in interesting times, and the least those artists can be expected to do is grant some minimal recompense by making full use of the bizarre and sinister vista which the imploded super-power now presents.

The new society at least has a better record than its predecessor when it comes to the persecution of novelists and poets (practitioners of journalism have found it to be an altogether more hazardous environment). Unfortunately, that tolerant attitude may simply betray a profound indifference - why lock them up when nobody reads what they write anyway? George Steiner once remarked that ‘Marxist-Leninism and the political regimes enacted in its name take literature seriously, indeed desperately so … in a communist society the poet is regarded as a figure central to the health of the body politic. Such regard is manifest in the very urgency with which the heretical artist is silenced or hounded to destruction.’ There is little such urgency in contemporary Russia - the ‘heretical artist’ is more likely to be hounded to starvation if her work has no impact on the literary market-place.

Victor Pelevin has previously described the harsh commercial imperatives bearing down on the once-pampered literary intelligentsia in his earlier work Babylon - its main character is a poet who is forced to earn his crust working for an advertising agency, bending his talent to the most artless of tasks. It’s pleasant to report that the writer himself is subject to no such exigencies: his novels have topped the Russian best-seller charts, suggesting that Pelevin’s caustically satirical view of post-Soviet reality finds favour with a broad audience.

He would doubtless be exasperated by the last sentence, with its casual assumption that any of us can know what reality is. The lengthy expositions of Buddhist philosophy to be found in this book (a recurring feature of Pelevin’s work) are intended to shatter that assumption. But the job is done just as well by the narrator A Hu-Li’s passing comment that one of the meanings assigned to the word ‘real’ by modern Russian vernacular is ‘having a dollar equivalent’. We are immediately told that ‘nowadays the dollar is an occult, mystical unit based entirely on the belief that tomorrow will be like today.’

With that metaphysical caveat in mind, the reader will soon discover that The Sacred Book of the Werewolf derides the optimistic view of Russia’s transition from Communism. At an early stage we are offered the reflections of Pavel Ivanovich, an elderly academic who has abandoned his faith in liberal capitalism and now pays A Hu-Li to thrash him: ‘He had assumed personal responsibility for all the woes of the motherland. In order to soothe his soul, he had to take a flogging once or twice a week from Young Russia, which he had condemned to poverty by forcing it to earn a living flogging old perverts instead of studying in university.’ A Hu-Li asks him to explain the difference between two terms she had considered synonyms - ‘intelligentsia’ and ‘intellectuals’. He is only too ready to oblige with an allegorical lesson:

‘When you were still very little, there were a hundred thousand people living in this city who were paid for kissing the ass of a loathsome red dragon … those hundred thousand people hated the dragon, and they dreamed of being ruled by the green toad who fought against the dragon. So, anyway, they came to an arrangement with the toad, poisoned the dragon with lipstick that they got from the CIA and started living a new life … at first they thought that under the toad they would be doing exactly the same as before, only they’d get ten times as much money for it. But it turned out that instead of a hundred thousand ass-kissers there was only a demand for three professionals working in three eight-hour shifts to give the toad a never-ending royal blowjob.’

The hundred thousand people, he concludes, were called the intelligentsia; the three residual fellators are called intellectuals.

It would be a mistake to attribute Pavel Ivanovich’s view to Pelevin with undue haste: quite apart from his sexual predilections, the scholar is a tiresome bore whose snobbery offends A Hu-Li almost as much as his crass misinterpretation of Nabokov. There is little quarter given to nostalgia for the ancien régime in these pages (at one point, a grim lavatory reminds our narrator of a Cheka detention centre in the Ukraine where ‘they used to hold people’s heads down over a toilet bowl like that when they executed them - to avoid getting blood on the floor’).

But A Hu-Li herself is every bit as scathing as the recipient of her brutal ministrations about the post-Communist system. In a letter to a friend, she explains that the Russian elite is now divided into two sections, ‘which are called ‘the oligarchy (derived from the words ‘oil’ and ‘gargle’) and ‘the apparat’ (from the phrase ‘upper rat’).’ The two fractions enjoy a symbiotic relationship: ‘The former allow the latter to steal because the latter allow the former to thieve … at the same time, there are no clear boundaries between these two branches of power - one merges smoothly into the other, forming a single immense, fat rat trying to swallow itself.’

You may be wondering how a woman old enough to have witnessed the Cheka in its hey-day could still make a living as a prostitute. But A Hu-Li is not a woman at all, strictly speaking: as we are soon informed, she is a were-fox, who may look like a seventeen-year-old girl but has really been on the go for thousands of years (she can’t remember exactly how long she has been alive, but we learn that the life expectancy for were-foxes is approximately forty thousand years).

Were-foxes, who are exclusively female, appear identical to women in almost every regard, except that they have a bushy red tail. The tail is not there for aesthetic effect: it allows the were-fox to induce the most refined hallucinations in human minds. A Hu-Li cannot describe the mechanics of this power for us with any precision:

‘Can a person who isn’t a scientist explain how he sees? Or hears? Or thinks? He sees with his eyes, hears with his ears and thinks with his head, and that’s all. Likewise we create illusions with our tails. It feels just as simple and clear to us as the other examples.’

When a large number of were-foxes put their tails to work simultaneously, the potency of the hallucination increases dramatically (the Battle of Waterloo is cited as an example). But usually an individual fox will concentrate her efforts on a single human male, extracting a little chunk of life-force from the latter every time while he imagines himself to be in ecstatic union with a beautiful and compliant woman. Foxes often target English aristocrats for such attentions, out of solidarity with their less exalted cousins.

Pelevin likes to place grand philosophical speculations in the mouths of his characters, and he has sometimes struggled to find a plausible reason to do so (a scene in The Clay Machine Gun where Russian mobsters discuss Nietzche springs to mind). From that perspective, A Hu-Li must be a perfect outlet for him, as her spectacular life-span makes the vast knowledge of literature and philosophy on which her narration draws eminently credible. A Hu-Li’s erudition is not based exclusively on book-learning - she casually mentions a sexual encounter with Dostoevsky when his work becomes a topic of conversation.

Although she has been dwelling in Russia for many generations, A Hu-Li remains anchored mentally in the China where she spent her formative years. This loyalty to ancient Chinese culture endures despite the trouble it has inadvertently caused her: her name, which pre-dates the Russian language, is now an obscene phrase in that tongue. Translator Andrew Bromfield has to give English-speaking readers a sense of the embarrassment this causes, suggesting that it is ’something like living in America and being called Whatze Phuck.’

The appearance of mythical creatures in an otherwise realistic portrait of Russian society will remind some of Mikhail Bulgakov. But the difference soon becomes apparent: in The Master and Margarita, Satan’s mischievous cat Behemoth picks a fight with the NKVD and runs rings around them. A Hu-Li finds herself entangled with the NKVD’s successor, the FSB, and expects that her tail will allow her to do the same. She is stunned to discover that the secret police has its own supernatural beasts on the pay-roll. And so begins her passionate affair with Alexander Sery, who is a patriot, an FSB officer and a were-wolf.

While A Hu-Li tends to contemplate the passions of the Russian people with detachment, Alexander is fully engaged with the motherland. He manifests a dour, post-Soviet patriotism that seems a perfect fit for Putin’s Russia. Hearing that a post-modern artist from Belarus has exhibited the hay-stack in which he spent four years hiding from his local police inspector, he accuses the man of plagiarism, recalling that Lenin famously concealed himself in the same manner on the eve of the Revolution. Alexander is even a partisan of the Orthodox Church, while recognising that its theology has him irredeemably ear-marked for damnation.

Even though she has spent thousands of years creating illusions of love and sex for the benefit of her human conquests, A Hu-Li has never experienced the real deal herself, and falls energetically in love with Alexander after their first, appropriately bestial encounter. Alexander is delighted to have found what appears to be a soul-mate, while A Hu-Li considers it prudent to maintain discretion about her real age lest she give the poor fellow a heart attack.

His nature can sometimes ruin the most intimate moments: a brief whiff of A Hu-Li’s second-hand blouse is enough to tell the werewolf that ‘before you, it was worn by a middle-aged woman who used home-made eau-de-cologne made from Egyptian lotus extract … she diluted the extract with fake vodka. There’s a lot of fusel oil.’ The same highly developed sense of smell has prevented Alexander from adopting the cocaine habit that would otherwise seem de rigueur for a man of his position, as ‘from the first line I can tell how many hours the mule was carrying it up his ass on his way from Colombo to Minsk.’

As their relationship progresses, Alexander prompts our narrator to spend more and more time considering a theme that was already weighing on her mind: the ancient prophecy of the ’super-werewolf’. A Hu-Li herself is not inclined to take this myth at face value: in a letter to a fellow were-fox, E Hu-Li, she sternly insists that ‘no messiah will ever come to us were-creatures. But each of us can change ourselves by exceeding our own limits. That is the meaning of the expression ’super-werewolf’ - one who has passed beyond his own boundaries, exceeded himself. The super-werewolf does not come from the East or from the West, he appears from within.’ (E Hu-Li’s interest in the topic has been prompted by her husband, a certain Lord Cricket who combines a strong interest in occult matters with militancy on behalf of the Countryside Alliance. Another fox wearily reflects that ‘the members of the exploiting classes often resort to occultism in the attempt to find a justification for their own parasitic existence’.)

But A Hu-Li begins to wonder if Alexander reads the legend with all the literal-mindedness that he displays when considering other matters. Staying in his apartment for the first time, she spots an art book with a striking picture of Fenrir, the giant wolf who is scheduled to kill Odin and eat the sun when the Norse end-times commence. Her anxiety is expressed in a passage that nicely illustrates Pelevin’s fondness for juxtaposing ancient mythology and modern pop culture:

‘I wanted to believe that Alexander didn’t identify too closely with this creature, that the yellow-eyed monster was simply an unattainable aesthetic ideal, something like a photo of Schwarzenegger hanging on the wall in a novice bodybuilder’s room.’

Despite the exhaustive knowledge of Western films and music which Pelevin clearly has at his command, it’s not clear if he is familiar with Buffy the Vampire Slayer. Assuming that Joss Wheedon’s creation has not made the journey east, Pelevin has happened across the same discovery made by Wheedon: namely, that the most hackneyed romantic subjects appear refreshingly novel when at least one of the doe-eyed lovers is not altogether human (Buffy’s cast also included a were-wolf, a teenage musician called Oz whose girlfriend dutifully guarded his cage every full moon brandishing a rifle loaded with tranquiliser darts). It only works, though, as long as we’re not offered a novelty freak-show display, and Pelevin sticks faithfully to that rule.

Alexander is determined to use his powers to further the glory of Russia, with an earnest dedication that A Hu-Li can only find baffling. He brings her to the Arctic north (A Hu-Li is impressed by the sight of a Calvin Klein boutique, ‘probably the most northerly outpost of lesser Calvinism in the world’) so she can watch him perform the incantations necessary to maintain Russia’s oil supply. After all, if the dollar itself is a mystical unit of exchange, why should it be surprising that the Russian economy demands occult intervention to generate export earnings? Later, when A Hu-Li finds Alexander’s deputy quoting from Why Globalisation Works by Martin Wolf, she can’t help wondering if the FT columnist and the World Bank apparatchiks James Wolfensohn and Paul Wolfowitz are part of the same tribe as the FSB’s lupine crew (he gives an enigmatic response, and it’s best that Pelevin leaves the gag hanging and quickly moves on).

The relationship between Alexander and A Hu-Li struggles to bear the strain of their contrasting world-views: his desire to serve cannot be reconciled with her longing for transcendence, although they help each other to achieve their goals along the way. As The Sacred Book of the Werewolf draws to a close, Pelevin takes a turn that will be familiar to readers of his work by now, shifting from political to philosophical concerns. This change of pace may not be entirely welcome for those enjoying the gleeful satire, but it is worth it for the climactic moment that blends Buddhist philosophy with Spielbergan melodrama. Pelevin manages the rare feat of delivering a touching finale with his tongue firmly in cheek.

Some of the critical notices Pelevin has received in the western press have saddled him with expectations barely less onerous than those of the super-werewolf: he has been acclaimed as ‘the saviour of the Russian novel’, not to mention ‘the future of the Russian novel’, and if his talent doesn’t fizzle out soon one can only imagine what will come next. It may be wise to let the dust settle for a while before trying to decide where Pelevin fits into the literary canon to which he makes so many cheeky references. For now, it’s surely more than enough to be able to say that this is a splendid novel, inventive, compelling and totally unique.

Discussion

We welcome and encourage lively discussion from the public about articles on Irish Left Review. You can leave a comment using the form at the bottom of the page. Please read through the existing comments before posting your own.

No comments so far

This article is, however, being discussed on the following websites:

  1. Sep 22nd 2008

Leave a Comment

(required)

(required, will not be published)

Sins of the Father

Sins of the Father:

Tracing the Decisions

That Shaped the Irish Economy,

by Conor McCabe

from The History Press

Now Available as an e-Book.

Subscribe by Email

Enter your email address:

Delivered by FeedBurner



Irish Left Review on Facebook

Best of the Web

  • The Greek debt workout will establish a benchmark for sovereign debt haircuts across the Eurozone

    I tried to reduce the size of this quote, but I kept on leaving important stuff out. The whole article is a must read, particular the point made earlier that the negotiations being finalised now between the ECB and private bond holders will ‘establish benchmark terms for other struggling Euro sovereigns as well. Thus, it is possible that the valuation of sovereign debt across all Euro nations will be established in relatively short order’. Anyway, this article by a couple of ‘humble investors’ provides plenty of clarity.

    We have not reached the end of history. Mankind evolves, as does capitalism and its many brands. But not that much. An objective look at our modern economic ecosystem shows clearly one unified global banking system that is actually made stronger by predictable, publicly aired tensions among competing political and economic theorists and practitioners. As long as lawmakers and we, the people that must obey them, continue quarrelling among ourselves, those that control money are free to do as they like. When the people revolt against the symbols of political power (storm the Bastille, storm the winter palace), then the people succeed in forcing those that control money to alter the political structure. Only when lawmakers take steps to limit bank system access to the nation’s resources by indenturing the factors of production (dumping tea overboard, storming the Eccles Building), can the nation’s capital shift back to the people.

    Today we have an oligopoly of central banks issuing the world’s baseless currencies and, by having successfully promoted substantial household and sovereign debt assumption, can now dictate resource allocation and fiscal policy terms. Against this power there is fragmentation - (mostly) democratically elected officials overseeing republics of generally obedient populations. Lenin knew; “by continuing the process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens”. John Maynard Keynes himself agreed: “There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose”.

    We argue that indebted governments have ceded that power to banking systems without conscience or public accountability. If the global banking system has ultimate power over how global wealth is perceived, (as it does), and it is the only institution powerful enough to keep indebted governments in control of their societies, (which it is), then the only reasonable strategy for an independent investor is to think like a Rothschild. Don’t fight the Fed - bet on it.

    No comments »
  • Protest at cuts in small rural schools Dublin, 1st February 2012

    Hundreds of teachers, parents and school children came from all over Ireland to protest at Minister Ruairí Quinn’s proposed cuts to small schools in Dublin when the Dáil was debating the bill.

    No comments »
  • Ireland has one of the most attractive tax rates for fracking companies in the world

    Very important point made by Natural Gas Europe here (posted on Shell to Sea) about the licencing agreement around Shale Gas (Fracking) and needs to be understood in the context of the news today that Tamboran Resources initial exploration in  north Leitrim has found that they could ultimately reach 2.2 trillion cubic feet of gas, worth $55 billion at today’s prices. Meanwhile Pat Rabbitte has asked the EPA do an environmental study, but this is very, very unlikely to veer from the assessment of the European Commission consultancy study on licensing hydraulic fracturing which found that there is no need for specific new legislation governing the mining activity.

    Besides the environmental impact, the financial cost of both that gas line and the potential shale gas excavation has caused consternation. Currently, Ireland has one of the most attractive tax rates for companies in the world. Companies in Ireland are, in most cases, required to pay only 25 per cent corporation tax, a much lower rate than most other countries with possible shale gas reserves; Ireland also does not require companies to pay any royalties to the government on saleable gas. Tamboran, Lough Allen Natural Gas and Enegi may be required to pay between five and fifteen per cent over this rate, but, even at a higher rate, the gain for the government will be lower than for most other countries in comparable situations. Pundits and protestors alike say that the government is effectively giving away a valuable resource, owned by the Irish people, to outside companies, for very little in return.

    2 comments »
  • Conflict of interest is so deeply embedded in Ireland, no one seems to notice

    The cops were very swift to close down the demonstration in the NAMA building that  Unlock NAMA occupied on Saturday the 28th. They haven’t been as swift though to investigate Anglo Irish Bank. A big blow to that investigation is due, apparently, to the fact that the cop leading it went to work for Bank of Ireland. It is not unusual for people from the fraud squad to move into the private banking sector, we are told, just as we were told that it isn’t unusual for people to move from the regulators office or the Central Bank (when they were separate bodies) to the boards of private banks. Unlock NAMA revealed that the building they occupied was in a very bad state of repair. Add to that the difficulty in establishing that it was a NAMA building at all, considering that it was added to the foreclosure list incorrectly. This should open up discussion on what is happening to all the other NAMA buildings, at the very least. At the most there should be uproar about the massive stock of properties that NAMA controls the loans of which is being allowed to rot and devalue. These properties are being held on to simply to try and artificially hold the price on property and provide the means for future speculation.

    Senior garda fraud specialist retires to work for Bank of Ireland

    The senior garda detective who was in charge of the Anglo-Irish investigation for 18 months took early retirement at the end of last year and is now working with Bank of Ireland, it has emerged.

    Former detective superintendent Pat Collins, 52, was regarded as the Garda’s top expert in corporate fraud investigation. He spent much of his career in the Fraud Squad and before taking charge of the Anglo investigation he spent time on secondment with the Office of the Director of Corporate Enforcement working with its director, Paul Appleby.

    Former colleagues say his departure — on full pension after having served 30 years in the force — will be a major blow to the investigation.

    Coveney adviser’s patriotism stressed to secure special pay

    Elsewhere, Minister for Agriculture Simon Coveney is in the news for asking for a €130,000 salary for his special advisor Fergal Leamy, a former chief executive of Greencore USA. The cap as we are well aware after all the breeches of it is €92,672. Leamy didn’t last long, despite Coveney pleading that he was desperate to do the state some service he left after four months. He got an offer from an equity firm in the London that he couldn’t refuse. However, the story also reveals that Simon  Coveney’s brother, Patrick Coveney is chief executive of Greencore. Of course Greencore has a long and controversial history, which Shane Ross referred to as a template for the worst excesses of corporate Ireland, a close rival to DCC.

    No comments »
  • Can We Still Write Big Question Sorts of Books? | David Graeber

    David Graeber and the model of his ‘popular’ yet scholarly book Debt: The First 5000 Years

    So: what was to be the model for a big questions sort of book, and how to write a book that would still be scholarly, but not academic?

    This is what I came up with:

    Of all the models I considered, the most amenable turned out to be the approach adopted by Marcel Mauss. This might seem odd. especially because Mauss never actually wrote a book; he’s mainly famous for a series of essays. Yet many of these essays-not just the Gift, but his essay on the person, techniques of the body (where he coins the term “habitus”), sacrifice and magic-really have had a profound effect both on all subsequent scholarship, and, to differing degrees, political and social debates ever since. Mauss had an uncanny ability to ask the right questions-often, questions he was the first to pose, and which have become mainstays of theoretical debate ever since. His was also an appealing model because Mauss was both a serious, committed activist (he was especially active in the French cooperative movement), and a scholar of remarkable erudition. His problem-and this, I suspect, is why he never did write a proper book, despite numerous attempts-was that he was also almost unimaginably disorganized, and therefore, terrible at exposition. I suspect if alive today he would have been quickly diagnosed with severe ADD.

    1 comment »
  • Irish ‘SOPA law’ another under the radar attack on digital rights by a craven government pandering far too easily to corporate interests

    Very strong and accurate piece from Karlin Lillington in the Irish Times today, making no bones about the motivations behind the changes in copyright law that Sean Sherlock and the Irish government are trying to sneak in. It’s odd at a time when the SOPA law in the US, which is similarly motivated to the Irish law, has just been dropped.

    FOR THREE governments in a row, “short-sighted” and “sneaky” seem to have become the relevant terms in operation when bringing in controversial, high-impact legislation on digital issues.

    In the past, from the government’s perspective, this approach has worked well in shoving in poorly drafted, unscrutinised law on the controversial area of data retention, giving the Republic one of the most severe, internationally criticised, anti-business retention regimes in the world.

    This time around, the Government is trying again to use secondary legislation - a statutory instrument requiring no discussion and no debate in the Oireachtas - to (supposedly) protect intellectual property for a narrow band of hard-lobbying entertainment industries.

    For despite what the ‘hard-lobbying entertainment industries’ might say internet piracy is not killing off its profits. That assumes for a start that the amount produced is static, which given the amount of ‘content’ flooding towards us each day is absurd.

    But more importantly, there is evidence (from numerous mainstream studies and reports) that industry claims about piracy decimating revenue, jobs and creativity are vastly overstated. A careful analysis of such claims by Julian Sanchez on Ars Technica ( iti.ms/wT8l02), picked up and further discussed by Forbesiti.ms/xQJXhg), indicates piracy has actually had only a minor impact on these industries.

    The record industry in the US, for example, has about double the new releases it had a decade ago, when piracy was barely on its radar. The film industry also has more releases now than in pre-piracy days and its most pirated movies are also those that made staggering box office profits. Sanchez cites evidence that the music industry is making back profits lost to piracy through “complementary purchases” such as concert tickets. And a recent report issued by a US anti-piracy lobby group rather farcically indicates its clients are doing quite well, thank you.

    3 comments »
  • Davos dilemma | Michael Roberts

    The majority of those at Davos think that Capitalism isn’t working, but don’t feel there is a need to change anything because its working rather well for them. It’s up to those not in the 1% then to change it.

    The strategists of capital are attending their annual jamboree in the snow playground of the super-rich in Davos, Switzerland for the World Economic Forum. Many of the top 0.1% of income earners are there. And this year the main theme is whether capitalism works and is fair.

    Capitalism is in crisis - and this time the word ‘crisis’ is not hyperbole. Even the 2600 attendees at Davos recognise that. According to a survey by the financial broadcaster, Bloomberg, almost 70% of those asked believed that the capitalist system is in trouble, with 32% saying it needs “radical reworking”. Less than 20% reckoned ‘free enterprise’ is working. Most Davos 0.1 percenters are really worried that this failure of capitalism to work could lead to ’social instability’ in one form or another.

    And more than half who were asked at Davos thought that inequality of income and wealth under capitalism was damaging economic growth. But only one in five wanted any urgent action on the issue! It seems that greed triumphs over economic logic - or should we say, class interest rules

    No comments »
  • The Promissory Notes | Tom McDonnell

    Economist Tom McDonnell of TASC provides a brief primer on IBRC promissory notes, which is available on Slideshare. Click here to view it in it’s own web page.

    No comments »
  • Michael Taft talks to Doug Henwood of Left Business Observer about the Irish Economy| 7th of January

    Michael Taft talks to Doug Henwood of Behind the News in a detailed 30 minute discussion about the Irish economy which was posted on the 7th of Jan. The second half of the show is given over to a discussion with Jodi Dean about Occupy Wall Street and ‘demands’. It’s also worth reading Jodi Dean’s article on Occupy Wall Street and the Left which was published today on Critical Legal Thinking.

    MP3 Link.

    [display_podcast]

    No comments »
  • What are bankers doing inside EU summits? | Corporate Europe Observatory

    Important information here on the extent of bank lobbies influence in the resolution of the Greek debt crisis, particularly when it comes to plans which require ‘private sector involvement’.

    At the Euro Summits in July and October 20111, crucial decisions “to save the Euro” and “to save Greece” were made. It was agreed to restructure Greek debts and banks were asked to accept a ‘haircut’ to their profits to avoid a Greek default and the risk that some banks might default as a result. In Summer 2011, the press was full of stories about the informal negotiations between EU leaders and the banks about the level of private sector involvement in restructuring Greece’s debts.

    The Institute of International Finance (IIF), a lobby group established in 1983 by the biggest banks and financial institutions in the world to deal with the question of sovereign debt2, became the EU’s interlocutor on the Greek debt issue. Its proposals -described as ”offers”- received red carpet treatment.

    No comments »

Link Archives »

Authors