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ATMs run out of money in Greece. All banks closed for 1 week.

Panic has struck Greece, with people lining up in front of the ATMs, virtually emptying them all. The Greece administration has announced that all the banks will remain closed for 1 week until July 6, a day after the national referendum is over in the country.

Greece - People line up for withdrawals from ATM machines

Greece - People line up for withdrawals from ATM machines

 

People empty ATM machines. Banks not open

People have virtually emptied most of ATM machines by withdrawing the money and keeping it with them. Panic has resulted in people resorting to such actions. They are unsure of how the events might turnout in case of a possible exit for Greece from the Eurozone. “There is no more money,” – a person was reported as saying in the Greek capital Athens after trying to withdraw money from an empty ATM.

The Greek administration has however assured that the citizen’s deposits in the banks are all safe. However the banks have been asked to shut down till July 6th, to prevent people from withdrawing their money completely.

 

Greek Economy in deep crisis. PM goes for referendum

The economic crisis has taken to a dramatic twist in Greece, after its Prime Minister Alexis Tsipras has given an unexpected call for a national referendum. The referendum is to decide whether to accept European Union creditors’ proposals.

Greece - People line up for withdrawals from ATM machines - Image Courtesy WSJ

Greece - People line up for withdrawals from ATM machines - Image Courtesy WSJ

With this new turn, the EU and the International Monetary Fund have nearly rejected Greece’s request for further extending the bailout that was given till June 30. If this happens, then Greece will become default on a massive payment to the IMF and would probably exit from the Eurozone immediately.

 

PM says reforms only mean more “humilation”

Greece has been in deep economic crisis for 5 years and thus received bailouts from the European Union nations. For further aids, the creditors have advised more reforms to be followed by Greece. The Greek PM has however told that these reforms would only mean further humiliation to the country, which is already reeling under recession and economy crisis.


 

 

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