Papademos technocratic national-unity government 2011-2012

Doctrine — stated goals and content

Caretaker technocratic government formed after Papandreou's Nov 2011 resignation, brief and single-purpose: deliver the Second Memorandum and Private Sector Involvement (PSI) debt-restructuring, then hold elections. Economic school: troika-dictated orthodox consolidation under EU-IMF-ECB programme, led by ex-ECB-VP. Signature actions: PSI deal Feb 2012 — largest sovereign-debt restructuring in history at the time, ~€200bn face-value exchanged with ~53.5% nominal haircut (~75% NPV) under retroactive CACs (Greek-law bonds); Second Memorandum legislated Feb 2012 €130bn envelope with further fiscal measures (~€13bn in 2012-2015): private-sector minimum wage cut 22% (32% for under-25s), collective-bargaining extension rules abolished, overtime-premium reduction; pension cuts of 5-15% in supplementary pensions; public-sector 150k headcount reduction target; bank recapitalisation via HFSF (Hellenic Financial Stability Fund) €50bn envelope. Papademos called May 2012 elections, ND came first with only 18.9%, triggering second election Jun 2012. Left-right: centrist-technocratic. Popularity: Papademos personal approval ~40% initially, eroded by PSI-related pensioner losses and public- wage cuts. Coherence: high programmatically — single mandate delivered.