Will Greece leave the Euro?

Stuff reports:

The anti-bailout Syriza party has won a decisive victory in Greece’s national elections, according to projections by state-run TV’s exit poll, in a historic first for a radical left-wing party in Greece.

But it was unclear whether the communist-rooted party, led by Alexis Tsipras, had won by a big enough margin over Prime Minister Antonis Samaras’ incumbent conservatives to govern alone. For that, they need a minimum 151 of parliament’s 300 seats.

“What’s clear is we have a historic victory that sends a message that does not only concern the Greek people, but all European peoples,” Syriza party spokesman Panos Skourletis said on Mega television.

“There is great relief among all Europeans. The only question is how big a victory it is.”

Skourletis said the election results heralded “a return of social dignity and social justice. A return to democracy. Because, beyond the wild austerity, democracy has suffered.”

Tsipras, 40, has promised to renegotiate the country’s 240 billion-euro (NZ$360 billion) international bailout deal. He has pledged to reverse many of the reforms that creditors demanded — including cuts in pensions and the minimum wage, some privatizations and public sector firings — in exchange for keeping Greece financially afloat since 2010.

Greece has every right to elect a Government opposed to living within its means.

And the EU and IMF have every right to stop bailing Greece out, and funding them.

The likely outcome is Greece either goes bankrupt, or it leaves the Euro so that it gains a currency that reflects its actual worth.

The centrist Potami (River) party was battling for third place with the Nazi-inspired, extreme right-wing Golden Dawn, whose leadership is in prison pending trial for running a criminal organisation. Both were projected as being between 6.4 and 8 per cent.

When a country is in trouble, the extremist parties often do well – sadly.

It will be interesting to see if the new Government compromises on its rhetoric, or if it holds fast – in which case the bailouts should cease.