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Europe Daily Bulletin No. 11352
ECONOMY - FINANCE / (ae) greece

Time for both sides to take their responsibilities, Parliament stresses

Brussels, 06/07/2015 (Agence Europe) - On Sunday 5 July, the principal political groups of the European Parliament reacted to the victory of the 'no' vote in the referendum in Greece (see EUROPE 11351).

The European right-wing feels that the Greek government has not strengthened its negotiating position, as the confidence of the creditor countries towards the Greek Prime Minister, Alexis Tsipras, has taken a serious knock. Over on the left of the political spectrum, there have been calls for the parties to resume negotiations as soon as possible in order to seek a sustainable solution to the eurozone crisis, so that the euro can remain the official currency of Greece.

On behalf of the EPP group, Germany's Manfred Weber warned: “There is not, and there will not be, an easy solution or a quick solution”. He feels that Tsipras' position “has not come out of the referendum stronger”, as he has “largely broken the bonds of trust between him and his European partners”. Nonetheless, the Christian Democrat called for “European solutions” which respect the interests of all 28 democracies which make up the European Union, stressing that his group was “prepared to provide Greece with humanitarian aid - whether the state remains in the eurozone or not”.

The head of the Eurosceptic group ECR, British MEP Syed Kamall, argues that there is no solution other than the rich countries acknowledging that if they are to keep the single currency afloat, they will need to make fiscal transfers to the poorest states, but the poorest states need to understand that the richer states will want to set the game rules. He predicted some dark days for the Greeks, but expressed his hopes that the EU will not seek to punish them for their democratic choice.

Mr Tsipras has won the referendum, but he has lost all credibility in the rest of Europe. He now needs to show that he is serious in wanting Greece to stay in the eurozone”, said the President of the ALDE group, Guy Verhofstadt of Belgium. If he comes forward with credible proposals, the European leaders need to give them a chance, he said, going on to argue that the referendum 'no' result is also an opportunity to set further-reaching reforms in place to make the Greek economy competitive.

European Left seeks “exit from the top”

The leader of the Social Democrat group, the Italian Gianni Pittella, called for Athens and its creditors to resume talks. Some of the creditor countries need to step away from their “unacceptable rigidity and national egotism”, while the Greek Prime Minister needs to return to the negotiating table with “a renewed responsible attitude”, he added.

The president of the GUE/NGL group, Gabi Zimmer of Germany, hailed the courage of the Greek people. “The cradle of democracy has shown the rest of the EU that democratic will is far stronger than the scaremongering and threats of the ruling elites”, she said. She feels that the “'no' in the referendum means the Greeks are saying 'yes' to a socially just distribution of the burdens for the sustainable reforms necessary in their country to fight corruption and nepotism (…). And above all 'yes' to mandatory negotiations on debt restructuring, including a haircut”.

The Greens/EFA group states that “the European Union and Greece are facing a deep political crisis and their response will have a major impact on the future of European integration”. Germany's Rebecca Harms and Philippe Lamberts of Belgium stress that “the majority of Greek citizens want to remain in the euro and it is in the interest of all eurozone countries that this remains the case”. The Greens sketched out their vision of a possible agreement: - “immediate financial help” to avoid a formal default of Greece, in return for conditions that “make economic sense and are socially just”; - a restructuring of the debt so as to make it “credibly sustainable” over the medium term; - assistance to stimulate investment; - a commitment on the part of the Greek government to implement fundamental reforms to put an end to the “culture of clientelism”. (Mathieu Bion)

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ECONOMY - FINANCE
EXTERNAL ACTION
SECTORAL POLICIES
EUROPEAN PARLIAMENT PLENARY
NEWS BRIEFS
WEEKLY SUPPLEMENT