Greece’s Anti-Bailout Parties Rise to the Top

Published Mon, May 7th, 2012   Wall Street Daily Research

 

Greece’s Left Coalition Party has won an election that polls say put it in the running for second place. It shares the standing with previous frontrunner, the conservative New Democracy Party.

At the moment, no clear winner is in sight, but the Left Coalition Party is making the greatest gains. Its momentum is largely fueled by citizens’ negative reaction to the spending cuts and bailouts, which it would send to the chopping block, says party leader, Alexis Tsipras:

“The people of Europe cannot compromise with the barbaric bailouts. They cannot legitimize an undignified future. The European leadership, primarily Ms. Merkel, needs to understand that the policy of austerity has suffered a huge defeat. Our primary commitment at this time is that we will honor the mandate the people are giving us to do whatever is in our hands so that the country will have a government which will condemn the bailout agreement and cancel austerity measures.”

If the fragmentation of the vote among smaller, anti-bailout parties doesn’t force another election, a win for the Left Coalition could send the eurozone back into an economic crisis, while Greece could find itself ultimately switching from the euro back to the drachma.