Griechenland: Neue Regierung als Chance nach zehn Jahren Krise
Greece: New Government as a Chance after Ten Years of Crisis

Summary/Abstract: The outbreak of the Greek financial crisis in 2009 has radically changed the economy and social life in Greece. Subsequently, the political system was turned upside down. Two parties, the liberal-conservative Nea Dimokratia and the social-democratic PASOK, had dominated the party system since 1974. That domination came to an end when left-populist Syriza won the elections in January 2015. Four years later the hope of many Greeks that Syriza would be able to improve the situation had eroded. Thus, Nea Dimokratia was the winner of the parliamentary elections in July 2019. The new government represents a chance for Greece, but the economic and social conditions turn out to hinder revitalization. Public debt is the highest in the European Union. Rankings of independent international agencies still put Greece at the very end of the list. Losses in citizens’ welfare are massive, unemployment remains high, and young peoples’ perspectives are commonly associated with the wording of a “lost generation”. Although economic growth is gradually recovering, fiscal space is limited by the fact that Greece is obliged to generate a primary surplus of the state budget of 3.5 per cent of GDP until 2022. Also, the new government raises hope that following a path of reform will boost creditors’ willingness to make concessions and thus reduce the primary surplus target in 2020.

• Details
• Contents