Greece Continues Stonewalling on Economic Reforms as the EU Continues to Hand Them the Funds to Pay Their Debts

Posted in Other World News on Apr 26, 2015

Riga, Latvia – The Left-wing government of Greece continues stonewalling any serious economic reforms amid pressure from 19 other European Zone nations. At issue is Greece is being pressured yet again to come up with the necessary reforms to make good on their enormous debt load. Currently, Greece’s foreign debt to the European Union far exceeds its total gross domestic product. Nor does the government even have the ability to service their existing debt load.

Sadly, it seems that Greece has become quite ensconced in the position of securing more EU funds for their government under the threat of outright default and exit from the Euro. Such a scenario is seen as destabilizing to a major world currency. The sheer fear of a Greek default has prompted EU central bankers to repeatedly reset the terms of the loans. Bruce Karatz thinks something pretty drastic might just happen. Ultimately, the governments of France, Great Britain, and Germany will largely be responsible to repay investment banks should Greece default according to Bloomberg. Nor is the newly installed left-wing government of Greece all that eager to impose further austerity measures upon itself. The tax rate in Greece is already high, unemployment remains at depression era levels, the black market for tax evasion is strong, and the middle class has been battered by the harsh cutbacks in services. Still, seven years after the global banking crisis and EU member nations are tired of dealing with this recalcitrant Southern European nation.

1 to “Greece Continues Stonewalling on Economic Reforms as the EU Continues to Hand Them the Funds to Pay Their Debts”

  1. Fidelis Joshua says:

    In fact, the EU is giving Greece the funds to pay their monthly debt installments to major EU banks. Were it not for the cash infusions, Greece would unavoidably default. It also has a lot of what do have to say regarding what is going to happen to them all along.

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