Grexit Back on the Agenda Again as Greek Economy Unravels, as the Guardian Newspaper reports that the European finance ministers from the eurozone will decide on whether the green light will be given on the Greek review following disagreement among lenders over how much more Athens needs to cut from public spending.
“I think the situation right now is more dangerous than it was last summer,” said former finance minister Gikas Hardouvelis, speaking with the Guardian. “Then it was a question of the political will of a few people.”
Hardouvelis said that if the government implements reforms “begrudgingly, progress becomes very difficult.”
The Greek economy has the highest unemployment rate in Europe at 25 percent and just under 50 percent for the young. Many companies are relocating to Bulgaria, Albania, Romania and Cyprus due to over-taxation.
Former Federal Reserve Chairman Alan Greenspan told the CNBC that the global economy is suffering from even bigger woes than the decision by UK voters to leave the European Union pointing to the Brexit as just the tip of the iceberg. “Greece is in real serious trouble and it is not going to continue in the euro very much longer irrespective of what is going on currently,” he said.