As Greek stocks face their largest weekly drop in nearly three decades ahead of elections this month, some analysts say the rout is blown way out of proportion.
"Greece has come a long way, they have done structural reforms, and they just need to resolve the last piece of the puzzle. The risks are serious but it's an over-exaggeration. The country has done structural reforms and they will be able to get this last piece done," Naeem Aslam, chief market analyst at AvaTrade, told CNBC this week.
On Thursday, the Athens benchmark index slumped 7 percent, adding to its 13 percent crash on Tuesday, the worst loss since 1987, after Prime Minister Antonis Samaras called an early vote to elect a new president in December, instead of March.
The worry is that Samaras' presidential nominee, Stavros Dimas, will fail to garner the minimum number of votes needed. Should that occur, parliamentary elections will be held and opinion polls indicate that the leftist Syrzia party, a vocal critic of the country's bailout program, is sure to win.
"The market reaction to this new level of political uncertainty is a big overreaction. We already had uncertainty in the sense that we didn't know if we could elect the President of the Republic [in March] and thus, have or not have snap elections, but now this has come down the road," said Kostas Botopoulos, chairman at Hellenic Capital Market Commission.