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And there is escalating political violence in Greece from both the left and the right, which is raising fears of political instability.

NPR's Sylvia Poggioli reports the conservative government is vowing to restore law and order and cracking down on leftist groups. The opposition claims authorities are trying to divert people's attention from poverty and despair.

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UNIDENTIFIED MAN #1: (Greek spoken)

SYLVIA POGGIOLI, BYLINE: The Mega-Channel news program announces the latest explosion in Athens - a firebomb at a crowded suburban mall that slightly injured two security guards. Officials describe it as a revival of the full-scale leftist terrorism that plagued the country in past decades. A government spokesman said the attack is a blow to democracy and attempts to restore economic growth. The mall attack was the latest in a spate of low-level explosions against Greek government offices, banks and other symbols of the establishment. Similar attacks on the homes of five journalists were claimed by a new anarchist group that accuses the targets of promoting the government's political and economic agenda and manipulating public opinion. Authorities suggest links exist between the major opposition party, Syriza, strongly opposed to the austerity measures and the recent attacks. Adonis Georgiades is an MP of the governing conservative New Democracy Party.

ADONIS GEORGIADES: Some people in Syriza, they look to all these ideas with some, let's say, friendly feelings.

POGGIOLI: Syriza accuses the government of trying to polarize Greek society. Last month police raided a building occupied for two decades by anti-authoritarian squatters and arrested several activists. This young anarchist is willing to talk to a reporter but won't reveal his name, in keeping with anti-establishment ideology.

UNIDENTIFIED MAN #2: (Greek spoken)

POGGIOLI: He believes the government crackdown is aimed at pushing young people to more lawlessness. More violence, he says, will lead to more social tension. Even some mainstream critics of the government say it's purposefully scapegoating the left.

NIKOS XANDAKIS: These kinds of tactics may put fire in the dry fields.

POGGIOLI: Nikos Xandakis is a columnist of the daily Kathimerini.

XANDAKIS: Because all the people are very anxious, are ready to fight, to fight for very little reason.

POGGIOLI: Three years of unrelenting austerity have been devastating. Unemployment is at 26 percent and rising, one in three Greeks lives on or below the poverty line, and more wage and pension cuts are yet to come.

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JOHN POULAKIS: (Greek spoken)

POGGIOLI: This shop is several steps below street level. Its walls are covered with hunting trophies and many different models of pistols and guns.

POULAKIS: Now, lately, everybody want to have one gun.

POGGIOLI: Gun shop owner John Poulakis is among those Greeks who blame rising joblessness and crime on illegal immigrants.

POULAKIS: Now you cannot walk in the night. People, they're scared.

POGGIOLI: But immigrants are also scared.

CROWD: (Singing in foreign language)

POGGIOLI: Thousands of demonstrators parade in central Athens recently against a growing wave of attacks against immigrants. They carry the coffin of Shehzad Luqman, a 27-year-old Pakistani who was stabbed to death while biking to work. The two men arrested as suspects are said to be sympathizers of the neo-Nazi and anti-immigrant party Golden Dawn. This Greek-born, 30-year-old Pakistani is too scared to give his name.

UNIDENTIFIED MAN #3: Everyone is right now frightened from the situation. It has been about a year since the Golden Dawn has entered the parliament. Since then, their attacks have been increasing.

POGGIOLI: Sociologist Konstantinos Tsoukalis is worried about the emergence of two violent movements at opposite ends of the political spectrum.

KONSTANTINOS TSOUKALIS: We have the Golden Dawn. Never before in Greece in living memory have we had such pronounced racist confrontations. And we also have the newly emerged terrorist movement. I don't really know what's behind it. But both of them are clearly anti-democratic and clearly do not lead to any kind of general and social and political solution of the problem.

POGGIOLI: Tsoukalis fears that with widespread poverty engulfing the country's vast middle class and the political establishment's loss of credibility, escalating violence can only endanger Greece's fragile political stability. Sylvia Poggioli, NPR News, Athens.

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