It is unrealistic to
expect Greece to repay its huge debt in full, the chief economics spokesman for
the victorious Syriza party has told the BBC.
EU leaders have warned
the New Greek government that it must live up to its commitments to the
creditors. Syriza leader Alexis Tsipras - who was sworn in as prime minister on
Monday - is expected to unveil his new cabinet later on Tuesday.
Analysis: Robert Peston, BBC economics editor
If Syriza were to win
its negotiations with the rest of the eurozone, other anti-austerity parties
would look more credible to voters. The victory of protectionist Marine le Pen
in France's presidential election would be an interesting test of markets'
sangfroid.
And if Syriza were to
lose in talks with Brussels and Berlin, and the final rupture of Greece from
the euro were to take place, investors might well pull their savings from any
eurozone country where nationalists are in the ascendant.
So why are investors
not in a state of frenzied panic? Why have the euro and stock markets bounced a
bit? One slightly implausible explanation is that investors believe the
eurozone would actually be stronger without Greece, so long as no other big
country followed it out the door.
More likely is that
they believe reason will prevail, and Berlin will sanction a write-off of
Greece's excessive debts.
