DW: Greece Could Fall Behind Again



greece-eu-flag2 The euro crisis, considered overcome by many in Europe, could return on a massive scale in 2015. If Greece’s far-left SYRIZA party, which is currently leading in opinion polls, wins snap elections, financial market confidence will likely be unsettled, said Deutsche Welle in an article.

“The Greeks know very well what a wrong election result would entail,” European Commission President Jean-Claude Juncker warned bluntly.

In its analysis, Goldman Sachs has been even more outspoken. “In the event of a [SYRIZA-led government no longer paying its debts, leading to a] severe Greek government clash with international lenders, interruption of liquidity provision to Greek banks by the ECB could potentially even lead to a Cyprus-style prolonged ‘bank holiday’,” it said.

Greece, owing a total of 250 billion euros to the International Monetary Fund (IMF) and various EU institutions, would tumble into financial chaos. A Greek tragedy would obviously affect other states with onerous debts: risk premiums for Cyprus, Italy, Portugal and, possibly, France would increase. This would be poison for public budgets, which are to be used for investments as opposed to increased interest burdens.

(source: DW)


2 COMMENTS

  1. There is no hope for this country to prosper and for us to have a better future while these 300 corrupt politicians are in power. All their interest is power and the benefits that goes with it. As for syriza leader, he has no clue in politic is, all his promises if materialized will take the country back to the dark ages while all his promises are fake only to get elected nothing more nothing less. The world should know that we have thee best corrupt politicians ever whom they are protected by the constitution which they wrote and vote for by themselves without the participation of the Greek citizens. God help us.

  2. So now they are trying to frighten the Greek people, vote as we say or else…….you will have to vote like Ireland had to till you vote to agree with us. I’m sure that people will soon see that democracy is NOT allowed in the EU. Just do as you are told……EU know best.

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