SYRIZA MP Kostas Lapavitsas has estimated that should Greece abandon the euro and return to the drachma, it would recover within a few months. Mr. Lapavitsas, who spoke to The Press Project, argued that the new currency would find a balance at about 15% to 20% below the 1:1 ratio with the euro.
He noted that at first, when the devaluation of the new currency would be significant, measures would be necessary to protect the economy and the country. These measures would be in place for “a few months, two-three months” and argued that it is the responsibility of a Left government and the Left in general to secure the necessary resources to defend the currency.
Furthermore, he argued that even if the devaluation of the new drachma reaches 50%, which he considered to be an highly unlikely scenario, then Greece would attract many investors.
