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27.09.2026
ANALYSIS
07:28

A bolt of lightning caused a political shock

The rift with Nikolaos, Michalis Damianos's role, and the implications for the government
ALPHANEWSLIVE


The rift with Nikolaos, Michalis Damianos’s role, and the implications for the government 

Finance Minister Makis Keravnos’s move to dismiss as political absurdities the questions raised by DIKO President Nikola Papadopoulos regarding why the former does not resign given his disagreement with the GSI was enough to bring the very strained relationship between the two men back into the spotlight. A strained relationship that clearly cannot be resolved by Panikos Leonidou’s attempts to “defuse” the situation or by various others who have stepped in to mediate. On the contrary, it is spreading between DIKO and the government. At the same time, however, it has sparked a debate over whether this constituted a significant blow to the DIKO president’s reputation. This has effectively given the other DIKO ministers a free pass to disregard him—just as Mr. Keravnos does. And to adopt similar positions in support of Nikos Christodoulides. What is certain is that those familiar with the background were not surprised, given the long-standing strained relationship. The question, however, is whether this stance by the Minister of Finance will force the President of the Republic to take a position by distancing himself from it in an effort not to lose the support of the largest party in the. Or, of course, whether he will let the issue hang in the balance, adding fuel to the fire of the already highly problematic relationship within the coalition government. 

The Two Ships  

At first glance, the appointment of Makis Keravnos to the Ministry of Finance was seen as the fault of DIKO. It was not only that Makis Keravnos, as he has often pointed out recently, is a member of DIKO, nor was it merely that he served as Minister of Finance during the Tassos Papadopoulos administration, when the former President of the Republic selected him from the Tender Review Authority and appointed him to the Ministry of Finance. It was also the fact that Maki Keravnos’s name had often been put forward as a potential candidate for the “Interim” party in the presidential elections. At the same time, however, the position of Minister of Finance was, in a sense, being claimed by Marios Karoyian, with whom he had always had a close relationship. So much so that DIKO member Makis Keravnos had accompanied Marios Karoyan to a meeting with then-Finance Minister Haris Georgiadis when the Democratic Party was founded. The truth, however, is that regardless of who tries to blame him, Makis Keravnos has built a good relationship over time with Nikos Christodoulides, who often says “no,” causing both discontent and tension within the rest of the cabinet. The problem, however, arose when Mr. Keravnos’s “no”s clashed with the long-standing position of Nikolaos Papadopoulos—and, to a large extent, that of the government itself—on the GSI issue. 

Demanding Keravnos’s Resignation 

From the outset, Nikolas Papadopoulos had been particularly vocal on the GSI issue and made no secret of his dissatisfaction with the President’s indecisiveness and, to a large extent, his difficulty in reaching a decision. This was especially true while his two ministers, Papanastasiou and Keravnos, were publicly expressing differing positions. It is telling that last December he sent a letter to the President, asking him to clarify his intentions on the matter and to emphasize that the government’s actions are exposing the country, leading it into energy isolation, are keeping prices high, and are driving the country into a rift with the Greek government. 

Part pretext, part cause  

The DIKO President’s criticisms were directed primarily at the Minister of Finance, who not only failed to tone down his rhetoric and objections toward GSI, but, according to DIKO officials, was particularly dismissive whenever he was in Parliament, making insinuations about their expertise as well as the intentions of those who support the project. All of this, combined with the pressure that Nikolas Papadopoulos wishes to exert on the President, led to his demand last summer that the ministers of Finance and the Interior step down and be replaced by DIKO officials.  

A Popular Minister 

Nikolas Papadopoulos’s demand annoyed Makis Keravnos, who often points out that the DIKO President frequently makes requests to the Ministry of Finance. The issue, of course, in all of this is that Makis Keravnos, through his stance on the GSI as well as his objections when ministers requested funds, has created the impression among a segment of society that he keeps a close eye on the state’s finances and is not swayed by populism or short-sightedness. This not only boosted his popularity but also his freedom to express himself as he sees fit—even going so far as to label the actions of the leader of the coalition partner as political absurdities.  

This very statement inevitably gave rise to political ramifications. Nikolas Papadopoulos, who is constantly looking for a way out of the government, raised three issues together with party officials.  

  • The disrespectful attitude toward him  
  • The disrespectful attitude toward Parliament in general, which has been supporting the Ministry of Finance’s bills all this time, leaving open the question of how the party will behave from now on 
  • And the need for the President to take a stand in this dispute, effectively distancing himself from his minister  

The President’s phone call 

The President bought himself some time since he was in New York for the United Nations General Assembly. The truth, however, is that under no circumstances is he willing to fire his finance minister, whom he considers a very important partner. According to information from “Alpha on Sunday,” the President called Nikolaos Papadopoulos last Wednesday and asked him to put the matter to rest. He is not willing to dismiss his minister. The same sources indicate that the President is taking the initiative to arrange a meeting between the three in order to defuse the crisis.   

The Legitimization of Disrespect  

For the DIKO President, however, the issue is broader and not limited to the Minister of Finance. By stating that, although he is a DIKO member, he will support—regardless of what the party decides — he has given other DIKO ministers the opportunity to do the same. A telling example is the statement by the Minister of Energy, who, according to undisputed reports, does not address the GSI issue, shifting all decision-making to the President’s Office, that DIKO has a candidate for 2028. Michalis Damianos, in addition to serving as a minister under Nikos Christodoulides, is also the President’s chosen candidate to assume the presidency of DIKO. An ambition he makes no secret of. The first question, of course, is what the party leadership intends to do about this situation, which resembles a discordant orchestra. Already, in addition to Chrysis Pantelidis, DIKO Secretary-General Giorgos Solomou has sided with Nikolas Papadopoulos, responding to the Minister of Energy by stating that the party’s collective bodies will decide on the 2028 issue and politely sending the message that he should not jump to conclusions.  The second question is how far the clash between Nikola and Keravnos might go—specifically, whether the DIKO President will demand the Minister’s resignation at the meeting. The President, however, is not currently willing to sacrifice his Minister of Finance, not only because of the minister’s effectiveness but also because he considers him a strong asset in his bid for reelection.  

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