The ECB's tough stance has ratcheted up the pressure on Greece's new government, raising the question as to whether Athens will give in and seek to reach an agreement with its creditors or whether it will risk a damaging confrontation that could end in a Grexit.
Thus far, there has been little sign of panic on the stock markets, indicating that financial markets are, for the moment, betting on a peaceful solution.
And even a banker like Ackermann is able to see Tsipras in a positive light. "The new government, unburdened by the past as it is, could represent an opportunity to cease whitewashing the situation and to finally do away with old, incrusted structures," he says. "Nevertheless, initial measures under consideration would seem to be more designed to drive investors and companies out of the country or to discourage them from becoming involved there in the first place."... The ECB is only prepared to assist Greek banks so long as the country remains a part of a bailout program. Yet Greek banks are in vital need of liquidity from the ECB, partly because Greeks continue to withdraw money from their accounts out of concern about a banking system collapse. Indeed, the new government will only be able to prevent the looming run on Greek banks by rapidly reestablishing trust or via the introduction of controls on capital flows.
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