Greek PM Promises To Ease Austerity to Fight of Syriza Campaign

In a move likely to stun international creditors keeping debt-stricken Greece afloat, the prime minister, Antonis Samaras, has stepped up his electoral campaign with a promise to ease the austerity policies demanded in exchange for financial aid, two weeks before crucial snap elections.

Unveiling a “roadmap” of measures for a “post-bailout Greece”, the leader pledged he would restrict spending cuts and reforms that have seen the popularity of the main opposition radical left Syriza party soar.

“I personally guarantee there will be no more pension or wage cuts,” he told his centre-right party members in Athens at the weekend as electioneering intensified ahead of the vote on 25 January.

“The next breakthrough in our growth plan includes tax cuts across the board which can happen gradually, step by step.”

Both pension reform and streamlining of the profligate public sector have been set as conditions for the future financial assistance Athens so desperately needs from the European Union and International Monetary Fund.

Failure to agree on the painful measures, nearly five years after its near-economic collapse, has prevented Greece concluding talks with lenders consenting to provide bailout funds only until the end of February.

via The Guardian

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza