The Buzz

All markets and investing news all the time

Greek radicals unveil economic plan

June 1, 2012: 11:41 AM ET

SYRIZAThe radical left-wing party in Greece, which is leading the charge against austerity, gave Greeks some insight Friday into how they'd run the country.

The first thing a Syriza-led government would do is annul the bailout agreement Greece struck with the European Union and International Monetary Fund, according to Greek media reports.

Alexis Tsipras, the party's firebrand leader, told reporters in Athens that the bailout would be replaced "with a national recovery plan for economic and social growth and productive reconstruction."

The program includes a number of steps that are sure to appeal to Greek voters. Syriza promised to raise the minimum wage, freeze wage and pension cuts, reduce taxes on food and increase unemployment benefits, the reports said.

Syriza came in second in last month's elections, and has taken the lead in polls just a few weeks before the next election is held.

According to Public Issue, Syriza would take 31.5% of the vote, followed by the establishment party New Democracy at 25.5%. The two parties have jockeyed for the lead several times over the last  week.

Greece has been without an elected government since elections on May 6  failed to give any party a majority in Parliament. The election, in which voters punished the parties that supported the bailout, was widely seen as a rejection of government austerity measures.

In March, Greece agreed to a program of reforms to bring down public debt and boost economic growth in exchange for a second 130 billion euro bailout. While Greece needs the money to stay afloat, many economists say the requisite austerity measures will only deepen the nation's recession.

Join the Conversation
Fear & Greed
Sponsored by
About This Author
Ben Rooney
Ben Rooney
Staff writer, CNNMoney

Ben Rooney is a staff writer for CNNMoney. He covers the European debt crisis and other international finance stories, in addition to writing about stocks, bonds, investing and other Wall Street-related news. Follow Ben on Twitter: @ben_rooney

To view my watchlist

Not a member yet?

Sign up now for a free account
Stupid Stock Move of the Day
#StupidStock Move of the Day! $BA down more than 3%? Margins may not be as strong. But earnings & sales beat. Solid cash flow. Overreaction?
Powered by WordPress.com VIP.
Follow

Get every new post delivered to your Inbox.

Join 241 other followers