Give me loans…

… AND I SHALL MOVE THE WORLD.
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Let me make a comparison, perhaps risky, with Archimedes and science.

We share with science the concept of “fulcrum” intended both as a financial lever and as the capacity to move weights and balances within a certain environment.

Owning a loan granted by an asset and managing it properly means shifting the balance and the forces within the same asset.

The active collection process especially entails the interaction with the management and ownership of the asset and may influence the choices to the extent that it may become prevalent based on the size and type of the loans.

This happens in any situation, from the smallest property up to joint-stock companies and even in a whole Country.

In fact, the indebtedness of the Countries has had and is still having a strong impact on their internal policy as well as on the autonomy of the decision-making processes of the executive bodies.

Greece is an illustrative case in this sense and the situations of other Countries with a highly unbalanced and unsustainable GDP/debt ratio (entrusted to third-party subjects) should be considered as well.

It is difficult to identify the active recovery strategy of these creditors. We do not even know whether this strategy actually exists, whether these subjects are more focused on their power or rather on the actual recovery of their loans.

Media generally provide a wide range of assumptions, from the “puritan/ macroeconomic” to the “conspiracy” ones, without helping us understand the opinion of the creditors and the destination of their loans.

Certainly, all the active loan management strategies are developed in the medium – long term and always entail a flow diagram regardless of the single choices and cases.

For example, a loan recovery plan does not depend exclusively either on the cooperation of the debtor or on the obstacles along the judicial procedures of the case.

Therefore, any decision made by the Greek government or people falls within a larger plan and probably will not be decisive in spite of the efforts made: the decision-making hierarchies have been revolutionised for a long time.

Emanuele Grassi