Greeks back Govt despite spending cuts

ATHENS - Greeks facing tough economic austerity measures still prefer the country's socialist Government to its conservative opponents, but predict more social unrest as the impact of spending cuts is felt, a new survey shows.

The survey, published yesterday in the Kathimerini newspaper, shows the socialists leading the opposition New Democracy party 48 per cent to 31.5 per cent in voting preference. A similar survey published in January had shown the socialists leading 48 per cent to 30.5 per cent.

The socialists came to power in October, handing New Democracy its biggest-ever defeat, 44 per cent to 33.5 per cent, amid a sliding economy and a string of corruption scandals.

Since then, it has been revealed that Greece's deficit had been heavily underreported, and that the final 2009 figure was 12.7 per cent of economic output instead of the 6.7 per cent projected by the conservatives last year.

About 80 per cent of the new survey's respondents said they believe strikes and demonstrations were likely to escalate over the next three months. In the January survey, 67 per cent had expected the escalation in protests.

The austerity package adopted under EU pressure contains wage freezes, bonus cuts and increased fuel taxes. It has already drawn the ire of the unions, with a one-day general strike planned for February 24.

The full effect of the measures has not yet been felt, and there is a widespread belief that Greece's European partners, rattled by the weakening of the euro over Greece's debt woes, will impose even stricter measures in the months to come.

Socialist lawmakers are saying in private that they are bracing for a new round of bonus cuts in mid-March.

Still, the survey's respondents seemed to blame the conservatives for the present situation: asked about which party could better solve the country's problems, 40 per cent chose the socialists, compared with just 7 per cent choosing the conservatives, while 42 per cent said "neither."

The survey questioned 1042 people on February 4-9, and gave an error margin of plus or minus 3.2 percentage points. The conservatives accuse the socialists of having dithered too long before deciding to act under the combined pressure of the EU and the markets.

But the party, aware of public disapproval, has been measured with its criticism.

New conservative leader Antonis Samaras also wants to draw a line with the past and admit mistakes without explicitly disavowing former conservative Prime Minister Costas Karamanlis.

Conservative Dora Bakoyannis, a former Foreign Minister, said that her party had failed to take strong measures to improve the economy.

"Instead of going forward boldly, in a liberal [pro-market] sense, we were afraid of the political cost... Greek society was expecting and was ready to accept [these measures]," Bakoyannis told To Vima newspaper.

- AP