Greek elections were crucial for the future course of world’s economies. As a result, governments abroad kept a keen eye on political developments of the country. Australia urged Greece to form a new government quickly to restore confidence in its debt-laden economy.
According to acting Prime Minister Wayne Swan, who welcomed New Democracy’s victory in Sunday’s election, economies in the eurozone are still facing challenges and stability needs to be restored.
“We certainly need a boost to growth (and) we also need longer term fiscal consolidation,” he told reporters in Canberra.
“But I think Australians can be assured that we are in the strongest position of any developed economy to cope with any fallout from these events in Europe. Our economy is 10 per cent larger than it was prior to the global financial crisis,” he added.
Mr Swan hopes that a government will be formed quickly in Greece but warned there could be further fallout in Australia from the European debt crisis.
Meanwhile, Prime Minister Julia Gillard is in Mexico for the summit of G20 leaders . At the summit, Ms Gillard expressed, “What happens in Europe does matter to the economy of Australia because Europe is the single biggest economic zone in the world”.