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BBC & CNN: SOS, Grexit just around the corner

The “ghost” of Grexit makes a comeback, says the BBC – What does the JP Morgan predict – CNN: SYRIZA’s plans could trigger a crisis that would lead Greece leaving from eurozone – Schauble: any newly elected government should observe its counterparts’ prior commitments

Newsroom December 29 09:10

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All major journalistic networks present extensive analyzes of Greece and its political developments. According to them, Grexit is around the corner.

European officials also make similar statements.

Economist Linda Yueh from BBC supports that: “If SYRIZA wins elections and remains faithful in what promised against austerity programs then the possibility of splitting the euro returns”. Further, she writes characteristically that: “Once again, resets the “ghost” of Greece’s exit from the single currency or Grexit”.

Further, she describes the next day after Greece returns to its national currency and notes that there will be devaluation. She further describes with examples potential consequences.

JP Morgan “sees” a deal between SYRIZA and the EU in the horizon

Following today’s failure to elect a President of the Republic, the international investment house LP Morgan presented potential scenarios for the day after the national elections on the 25th of January, as well as its effects on the Greek and European economy.

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According to the American network “Experts support that SYRIZA’s plans are not realistic, that they are irresponsible and could trigger a crisis that would lead Greece leaving from eurozone”

Following the unsuccessful third round of voting for a new President of the Republic and after the announcement of early elections, the international media interpret political developments in Greece.

CNN published an article with the title” Get ready for a new Greek drama” and stressed that Greece “is
threatened with unpleasant consequences for the fragile economic recovery in Greece”.

At the same time, the article refers to the stock market fall of 8.5% after the voting, and notes that the poles show SYRIZA in the lead, by highlighting that the plans of the party are popular since people had a hard time due to the crisis and unemployment.

However, according to the American network “”Experts support that SYRIZA’s plans are not realistic, that they are irresponsible and could trigger a crisis that would lead Greece leaving from eurozone”.

According to CNN, SYRIZA has lately “soften its ways and wants to remain in Eurozone”.

In conclusion, the article states that despite the dangers of the situation in Greece, experts estimate that the Eurozone is more capable of facing a new Greek crisis and as the economist of
Berenberg says “ Eurozone could handle an unlikely but not impossible Greek accident with limited and temporary losses”.

Schauble: Any newly elected government should observe its counterparts’ prior commitments

According to the German Minister of Finance any newly elected government should observe its counterparts’ prior commitments.

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“It will be difficult if Greece follows a different course” noted Mr. Wolfgang Schauble.

The German Minister of Finance asked of the Greek political parties to commit on continuing the reforms while he stressed that “We will support the reforms in Greece”.

At the same time the IMF announced that the talks with Greek authorities will continue with the newly elected government. What more, according to the IMF announcement, Greece is not faced with any immediate financing needs.

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