Our German friends (Focus-handelsblatt,etc.)

Letter to Georgios Papandreou, Prime Minister of Greece
by Gabor Steingart
Mr. Prime Minister,
Dear Mr. Papandreou,
With the greatest respect, the Western world is monitoring your efforts to master your country’s debt crisis. No other democratic country has ever managed anything like that in peacetime. You are shrinking the state apparatus; you are fighting corruption; you are teaching your fellow countrymen how to become honest tax-payers.
You are a modern hero. You are attempting the impossible. As the son of a persecuted and ostracized politician who was chased by the military junta you grew up close to danger. When the officers were looking for your father who was hiding in the attic, they threatened you by putting an unlocked pistol to your forehead and challenged you to betray your father. You denied your father’s presence until he, worried about his son’s life, left his hiding place.Later you fled with him to America where you spent your adolescence. You are alarger-than-life-character.
Preceding governments almost ruined your country. Debts amounting to 340 billion Euros are burdening the Greek state,equaling 155 times the profit of the 60 largest companies of your country and 1.5 times the amount of debts the Maastricht Treaty allows. A year ago, this newspaper, Germany’s biggest Business Daily, appealed to the public to buy Greek government bonds in order to give to the country what Greece needs just as urgently as money: confidence. We also wanted to assist in breaking through the negative spiral of growing doubt and increasing interest rates. Everyone who granted you guarantees and loans wanted it, the European Union, the International Monetary Fund, the heads of state and government.

Papandreou – Steingart, May 2010 
But since then, the spiral has picked up in speed instead of slowing down. In May 2010 the interest rate at which your country was given money on a ten year basis was at eight per cent. Today, it is at 16 per cent. And in all probability, it will be going up further. The bitter truth to which you and all parties who wanted to help Greece have to admit is that the help doesn’t help. Your country is getting deeper and deeper into the mess. Debts are growing, the gross national product will decrease by at least three per cent in 2011. But it would have to grow by three per cent instead if you were to lower your debt to the allowedlimit until 2040. This is becoming more and more unrealistic. You can’t starve and build up your muscles at the same time.
The truth that Greece has to cut back and save has turned into an untruth. The right thing has turned into the wrong thing. You already cut pensions, lowered the salaries of civil servants by 30 per cent and raised the prices of gas by almost 50 per cent. You can’t restore the health of your country by saving. And the European Union can’t restore your country’s health by again and again injecting new loans.
Soon, the day will come when the tortured body will surrender. The Greek construction industry already shrank by 70 per cent. Sales of car dealers sank by half. A daily export volume of 50 million Euros Greece is achieving  far too little.  Soon the day will come which investors fear in their nightmares. Then the word “insolvency” will be on everyone’s lips.
But it is also the day when a new truth will be born: Don’t save but invest, they will tell you – so that the Greek economy will grow again. Do not service debt with debt, you then will be recommended, but spread out the debt service, cut it and maybe even completely suspend it for a while. It will be a day of impositions, especially for those who lendmoney to you and your people. Financial markets will grind to a halt in horror – and then they will turn to embrace the future. Because Argentina in 2001, Mexico at the beginning of the eighties and Germany after World War II taught us that there is a life after death – at least, in the case of highly indebted states.
Mr. Papandreou, so far, you attempted the impossible. Now youshould do the possible. Just as you deceived the officers as a boy and denied to know where your father was hiding you now must repudiate the pride of the Greeks - in order to save your country. Come to meet the new uncomfortable truth before it knocks at your door. It’s already on its way.
Respectfully yours,
Gabor Steingart
You highly praise Greek PM George Papandreou as: "You are a modern hero. You are attempting the impossible. As the son of a persecuted and ostracized politician who was chased by the military junta you grew up close to danger. When the officers were looking for your father who was hiding in the attic, they threatened you by putting an unlocked pistol to your forehead and challenged you to betray your father." Point of interest his father Andreas Papandreou ,during the Fascist Metaxas dictatorship, was arrested for purported Trotskyism. Following representations by his father, Georgios Papandreou Sr, was allowed to leave for the US. There Andreas Papandreou joined America's war effort and volunteered for the US Navy. George Jeffrey Papandreou was born  in Saint Paul, Minnesota, United States, where his father, Andreas Papandreou, held a university post. He is American born and raised, and although I have no reason to question his courage during the junta, facts show that the Papandreou family had preferential treatment by US Governments.
2. You say "Preceding governments almost ruined your country". You should know that PM George Papandreou has held in the past government positions, as Minister for National Education and Religious Affairs (1988–1989 and 1994–1996) and was Minister of Foreign Affairs from 1999 to 2004. That means he was also a part of those "preceding governments that ruined the country".

Unfortunately, he is not a new political figure and has his share of responsibilities of ill-doings during the last reign of PASOK.

3. While in opposition prior to 2009, he purposely sabotaged a) The Bourgas-Alexandroupoli pipeline, a deal between Bulgaria-Greece-Russia of great significance, b) opposed to Chinese COSCO logistics deal, that guaranteed foreign investment, c) was the key component to opening the door to Europe for the IMF.
4. While I had hopes for a more responsible government, he implemented unfair taxation rules, no implementation on the agreements, and never pushed for Public-Private-Partnerships and PSPP's to stimulate the economy, promote growth and cut unemployment. Comparing Greece to the Titanic, or bluffing about the loaded gun on the table (IMF) caused spreads and CDS's to soar. (Coincidentally, his brother, Andricos Papandreou is reported to have made billions gambling on CDS's)
Yes, many reforms are taking place (at a deadly gamble) but two bailouts in two years is hardly a sign of a bright future. (Ireland is already showing growth)
Your "modern day hero" self admittedly said that he ruling "a corrupt country" in interviews outside Greece. I doubt that the Private Sector Investors are happy to see a haircut of more than 21% on the table, and the Greek pension system is likely to collapse. Sir, I had hopes for our PM to brake the norms of the past and although past experience was not in his favor, (see  his failed promises for 2004 Olympic games concerning green energy), Pasok in March 2004 elections left office with most of the infrastructure incomplete. (See IOC committee reports). As a Greek-American I pray that he finds a sense of Greek pride, does not condemn future generations with burdens, because of his and his government's shortcomings.

Note: In early summer, he called opposition leader Antonis Samaras and asked for help in negotiations with the Troika, agreeing to step down as PM and agreeing on a third party to be transitional PM until elections could take place. As usual he changed his mind once again under the pressure of losing his position. Make no mistake this government is not saving the Greek people and if you wish to find out come to Greece and try to live on the salary of a private employee. The other major tragedy is that no political party is doing what they must to save the country. The left and the unions are destroying any possibility to a common solution and the conservatives are not being listened to as far as growth and tax reduction is concerned.
Make no mistake: This is NOT a Socialist government, and this man is NO hero.