What Greece needs is good governance not a referendum
Without real and profound change in Greece's dysfunctional state, it is almost irrelevant whether the country reaches a short-term deal with its creditors or not, say analysts. "Greece cannot perform economically well in the long-term without major structural reforms. These need to address the size and quality of public administration and the fight against corruption," says Vivien Pertusot, of the French Institute of International Relations, a Brussels think tank.
Ideally, the impetus for reform needs to come from inside Greece, says Pertusot. "It's one thing to impose these reforms on yourself, quite another to have them imposed from outside, which makes it difficult for a government to own the reforms. It is possible to prioritise improving the quality of public administration, and decreasing its size, but it will take years to see concrete progress."
Long-entrenched vested interests will likely prove an obstacle to change, says Pertusot, and government will still need to function while reforms are enacted. "To revamp an entire system without smashing it is a complicated and delicate task. It requires the right leaders at the right time, willing and able to fight against an established system."