[Int.] Uncertain outcome in Greece

Greek Prime Minister Antonis Samaras, who recently lost his gamble of holding an early presidential vote in order to shore up the terms of a fresh economic package from the European Union, forced a snap general election within two years of coming to power. The January 25 poll has brought centre-stage the main opposition party, the radical left-wing Syriza that takes an anti-austerity stance. Equally, the uncertainty over the Greek election outcome brought into sharp focus the capacity of European Union leaders to influence national governments to implement unpopular economic reforms. The developments in December, involving three rounds of voting by the Greek Parliament which eventually failed to elect a President, are reminiscent of the high political drama of 2011. On that occasion, George Papandreou had announced that the issue of approval of the Eurozone debt deal for Greece would be decided in a popular referendum, sending shock waves across European capitals and causing a splutter in the financial markets. Amid the groundswell of public anger against crippling cuts in government spending and reductions in wages and pensions, a plebiscite would have potentially risked a Greek exit from the Eurozone.

Syriza’s support has seen a steady surge over the past decade, culminating in its emergence as the second largest party in the outgoing Parliament. Under the charismatic leadership of Alexis Tsipras, it won the May 2014 European Parliament elections handsomely, relegating the country’s ruling New Democracy to the second position. Since then, Syriza has led in the opinion polls. The party rapidly rose to prominence since the debt crisis in Greece unravelled, by portraying the terms of the bailout with European and international institutions as a harsh and arbitrary imposition. In more recent months, it has spoken of softening the terms of the bailout and of having the country’s debt written off by half. Syriza’s sharp rhetoric in recent weeks seems to have been muted, perhaps from a recognition of Athens’s European obligations under the existing arrangements. The party may or may not capture power in the elections. But even if it comes anywhere close, it can be expected to exert considerable influence on the manner Athens negotiates with Brussels the terms of its economic reforms. Syriza’s performance would also be watched closely in countries where the appeal of anti-austerity, and even anti-EU parties, has been on the rise and where elections are due this year. Gradually, a scenario may be evolving where domestic forces exert greater influence on the trajectories of European integration. This may lay bare the limits of the post-War vision in a globalised world.

Source - The Hindu