The Echo of War: The Issue of World War II Reparations and Occupation Loan in Contemporary Greece

In World War II Greece suffered immense devastation; aside from the damage itself, the country was forced to provide the Third Reich with an occupation loan. After the war, Athens claimed reparations and repayment of the loan, but not all such claims were settled. The final solution was postponed until the eventual reunification of Germany and the signing of a peace treaty. All attempts of Greek diplomats to address the issue were met with the position that the issue has already been resolved diplomatically and in legal terms. The simmering conflict gained new prominence during the financial and economic crisis of 2010s. Greek citizens, frustrated over the strict austerity policies, blamed not only their own government, but also the “troika” of creditors, which forced Greece to adopt such measures. Since the financial assistance program was developed largely by Germany, the Greek collective memory provided a number of vivid negative images connected to Germany, the Nazi crimes in particular. In the public space of Greece the issues of reparations and the occupation credit were constantly discussed, putting further strain on Greek-German relations. These attitudes among the Greek public were used by Greek politicians who strived to shift the blame for the ongoing crisis onto the Germany. Stereotypes of the past became a tool ofGreek populists. During the crisis the issue of post-war payments reached a new level, and a desire for historic justice was accompanied by the blamegame against Germany.