Portuguese oppose Greek haircut

Graça Santos has never been one to mince her words. Politicians in Portugal are all corrupt, incompetent and lazy, complains the fish seller at the historic market Bolhão in the northern commercial center of Porto. Their stupidity and self-interest ruined the country and forced it into the EU bailout program, which it finally exited in 2014. "It didn't hurt the rich people," complains the 52-year-old vehemently while gutting a hake. "We, the poor people, had to make great, inhuman sacrifices to survive with dignity."

On one hand: reduced incomes, pension cuts, tax increases and additional levies. On the other hand: company privatizations, increased weekly work hours, extended work lives, greatly reduced social security and the deterioration of the state health care system. The conservative-liberal government did not forego using any of the economic torture instruments demanded by the troika of EU, European Central Bank and World Bank to implement drastic reform measures.

The fish seller Graça can tell us a thing or two about it. With her extremely reduced income, she now has to financially support her sick mother. "My mother is 80 years old and has diabetes. But her pension cannot even cover the costs of medication. I have to give her money so she can buy food."

The success of the past three years of troika measures in Portugal is disputable: economic performance has not improved substantially, the unemployment rate has still not fallen below 13 percent and state debts have even risen to over 130 percent. A large part of the newly burgeoning middle class has plummeted into poverty and given up hope.

Around 120,000 well-educated Portuguese emigrated in 2014 alone. Documentary filmmaker Pedro Neves and eight fellow photographers have dared to take stock of the situation. Their crowdfunded book "Projecto Troika", which includes a DVD, was published at the end of 2014.

"The worst part is that this crisis is not over," complains the 38-year-old director. And of course, the socially underprivileged are the ones hit hardest. He recently filmed a man whose welfare benefits were cut by 20 euros. "Ever since then, Constantino has been living on the streets. Because he can no longer afford his room."

Hope for recovery

But the President of the Chamber of Commerce of Porto, one of the country's most important ones, confirms that things are looking up again. Nuno Botelho is sitting behind his desk in in the old Stock Exchange Palace near the Douro river with its exotic wood paneling, oil paintings on the walls and large, ostentatious trading floor.

Porto and the north of the country are home to the country's medium-sized companies, explains Botelho. Like the textile industry, which is now producing top European brands. And the shoe industry and its international brands are now even giving Italy competition. More than half of Portuguese export revenues come from Porto and the surrounding areas.

"I must frankly admit that profligacy existed in the past. Not as much as assumed, but it did exist," asserts Botelho, head of the Chamber. "In this regard, austerity was positive." But now business is running again and even more new companies have been founded than old ones gone bankrupt." Portugal is back on track, thanks to the troika.

No special treatment for Greece

That is exactly why he cannot understand Greece's recent criticism and demands, continues Botelho. Of course, the people's sovereignty should be respected, but the people cannot demand special treatment. He is particularly adamant against a debt cut and all its consequences. "If Greece wants to exit the euro, then it should. If I don't want to be a member of a club, I should leave it."

The louder Greek calls become for renegotiating their debt burden, the more the Portuguese seem to be against it. They are increasingly taking this view– in the café around the corner of course, but also in the call-in radio and TV shows that run almost nonstop. Even the fish seller at Bolhão market has strong views. "No way, no debt cut. I have to pay back every cent, too. So the Greeks should also pay back what they owe.”

But Graça Santos still thinks it's great that the Greeks have announced that they want to fight corruption and tax evasion. Syriza's election win is a sign of hope, she says. Because the established parties in Portugal too have ruined the country and have repeatedly led it into crises. Maybe Europe and even Portugal are shifting to the left politically, contemplates the fish seller while she places a crate of fresh mackerels on the counter. It is desperately needed and wonderful. But a debt cut? Never!