Greece and the Eurozone, what happens next

The Greek Prime Minister Antonis Samaras has called Syriza’s leader Alexis Tsipras to concede defeat. But n European Chancelleries, they will be holding their breath and hoping that Syriza do not manage to win an overall majority—the latest official projection has them just one seat short. If Syriza have to form a coalition, the German government, the European Central Bank and the European Commission will be hoping that it is with Potami, who would moderate Syriza’s demands.

But if Syrzia wins a majority or forms a coalition with another party that wants to renegotiate the terms of the Greek bailout deal, then the Eurozone crisis will move into a new and particularly dangerous phase. Syriza will push for Greece’s debt repayments to be made conditional on economic growth. But the Germans, and other northern European countries, have already made clear they won’t accept this. Indeed, Berlin is in no mood to compromise. It believes that, unlike in 2011 or 2012, the Eurozone could survive a Greek exit from the currency.