Tsipras is already making changes to previous Greek austerity policies, which is leading other European nations to take precautionary steps to protect their investments.
Alexis Tsipras began fulfilling his election promises when he began cutting previous austerity policies. His actions were praised by the Greek people, but received negative response from investors and other European entities.
Wednesday marked Tsipras' first cabinet meeting, reports The Guardian. "We will continue with our plan," he told his cabinet members. "We don't have the right to disappoint our voters."
Two major objectives on the agenda are to provide the Greek people with more services and rights, and to negotiate new terms regarding the debt owed to the European Union and other creditors. One of the decisions was to prohibit the privatization of Greek corporations and resources in return for the loans given to the nation. PPC, a major energy corporation in Greece, as well as the port Pireaus, the largest in the country, will no longer be privatized. Though privatization was part of an agreement that the previous Greek government made, the two assets will be used in order to benefit the Greek people, say Greek ministers.
The previous Greek government had made arrangements with Chinese company Cosco to sell a 67 percent stake of the Pireaus port. The deal would also give partial ownership of the ROSCO stock. The Syriza government will review the deal and negotiate new terms.
Further, the minimum wage in Greece will be raised from sub-500 euros a month to 751 euros a month. The new government also plans to reinstate public service workers and protect union workers from mobilization.
The new anti-austerity policies announced by Tsipras are worrisome for the rest of Europe, who expects Greece to pay off their debt. Tsipras, though against austerity, said he would not choose a disastrous path in its debt negotiations with the European Union.
"We won't get into a mutually destructive clash, but we will not continue a policy of subjection," he said.
Despite his words, Tsipras' policies lead many investors to take cautionary steps, which lead to a slide in the stock market for Greece on Wednesday.
"We expect them to fulfill everything that they have promised to fulfill," said vice president of the European Commission Jyrki Katainen.
