Greek PM Seeks to Rebuild Credibility Back Home

Last week, after repeatedly promising his people that his government would end the austerity measures crippling Greece, Tsipras put forward a package of proposals that will bring yet more austerity, more tax rises and more misery.

Leaked report shows that the International Monetary Fund believes Europe hasn’t faced up to the true scale of Greece’s financing needs

Yesterday the country’s creditors accepted these proposals; there will be a deal. To make matters worse, this came just a week after the country voted comprehensively in a referendum – which Tsipras called – to reject further austerity. In possession of a mandate to say no, Tsipras said yes.

The move has already caused a significant, if so far containable, rift within Greece’s governing coalition. The energy minister Panayiotis Lafazanis, who heads Syriza’s left platform, has already declared that he won’t vote for the legislation when it comes before parliament on Wednesday to be passed into law. But, nor, he said, would he resign. Meanwhile, Panos Kammenos, head of the Independent Greeks party that governs in coalition with Syriza, also claimed his party wouldn’t vote in favour. But like Lafazanis, he showed no desire to relinquish his position as defence minister or pull his party out of the coalition. Dissent in Greek politics clearly has its limits.

via The Guardian

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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