Many in Europe –particularly in Germany- wonder why they should continue providing financial support to a country that has failed to honor its commitments with partners and is an international laggard in key indicators –competitiveness, innovation and transparency.

By Nikos Chrysoloras

Such objections are understandable but mistaken. Europe stands to lose as much as Greece itself from an exit of the latter from the eurozone. It is not just the spreading of the virus of uncertainty to the other countries of Europe’s southern periphery, the repercussions on the northern European economies and the impact on the process of European integration that began  from the ruins of World War II.

If Greece falls, Cyprus will, too, due to its large exposure to the Greek economy, and Europe will lose two outposts in the Eastern Mediterranean and the Middle East which have lost none of their significance on the international power chess board.

Greece is also Europe’s first barrier to the waves of illegal immigration originating in Asia. If it falls, the pressure will increase on Italy and Spain.

A third good reason to salvage Greece is to prevent its Balkanization, which would result from the extreme poverty and the inability to import medicines, fuels and food after a disorderly default. The political system will collapse and democracy will be in danger. The EU and NATO would derive no benefit from a new source of tension in the Balkans which they have fought to stabilize in recent decades. Itwouldbegravemistake.

Moreover, our  European partners should not forget that certain syndicated interests may have succeeded in preserving their privilieges and tax evasion may still be  rife, but a large segment of the population has made huge sacrifices in the harshest fiscal stabilization program ever implemented in a developed country. A Greek exit from the EU would be tantamount to betrayal of all those who have foregone so much.
The same goes for a large part of the political system. Greek politicians may have proved useless but no one can accuse them of ulterior motives. The 190 deputies who voted for the new economic memorandum knew they were signing the end of their political carrers. Papandreou and Samaras, the leaders of the two major parties, have risked their dissolution by backing the country’s stay in the eurozone. All opinion polls show that Greeks, despite their sacrifices, prefer to remain the euro. The images of riots and violence relayed to the end of the world by the media are the work of a small minority and police inefficiency.

Europe can bypass the proven incompetence of Greek politicians with safety valves, such as the broadening of the responsibilities of its Task Force for Greece, the provision of technical aid or the tying of the disbursement of bailout installments to tangible progress in reforms.

Modern Europe exists thanks to ancient Greece and modern Greece exists thanks to the European powers that guaranteed its independence in the early 19^th century. Since then, Greeks have more than repaid their debt. They fought valiantly for the Allies in World War II and provided the first victory against the Axis, when the latter had already overran Belgium, the Netherlands and France, and London was being pounded by the Luftwaffe in the horrible winter of 1940.

Germany knows full well that national humiliation can boomerang on the powerful and ought to remember that when it found itself in need, its own debt underwent a haircut and its mistakes were forgiven. The Germans are not known for their diplomatic and political foresight and have paid for this dearly in the past. Let them not drive all Greeks, conservatives or liberals, supporters or opponents of austerity, innocent or culprits, to unite against them.