The meaning of the Referendum in the Central Greece ' crisis '

Late last week, the Parliament of Greece do voting that later with the results of the votes versus 178 120, to hold a referendum on Sunday, July 5, 2015. The referendum will decide whether Greece would accept the terms of the proposed bailout of the Eurogroup or not the tumultuous market. What is the meaning of the crisis Greece (Grisis)?

The Bubble Burst

Greece debt problems started from the merger Greece into the unity of the economic-financial condition even though the Euro is in fact inadequate. For a few years after joining the Euro in 2001, Greece experienced a period of gold. By joining the Euro, Greece had seen have credentials and economic prospects are good, so it can get the flow of funds in the form of capital and debt easily. In fact, it was all just an illusion from which data has been manipulated. In the end, the country used the illusion of success to borrow funds in the amount of unusually large in order to build a wide range of ambitious projects.

However, before the great projects of sweet bear fruit, the fact that the actual financial condition of Greece after the country's deficit and its credit rating plummeted leapt. In 2010, Greece ever ask for bailout from three organizations: the European Union, the European Central Bank (ECB), and the International Monetary Fund (IMF), later known as the Troika. In addition to receiving a loan bailout funds, Greece also began Austerity program (savings) by raising the wholesale tax, slashed salaries, and freeze pensions. That year also marked the beginning of widespread bloody demonstrations in the streets of Greece.

Greece Photos demo demonstration in Greece Beginning in 2011

He received a bailout from the Troika marks the beginning of the cycle "Dig hole, cover the hole"; Since then Greece pay debt with new debt, while the austerity program in the country turned out to be even mencemplungkan the country into recession.

In 2011, the creditors of Greece agreed to do a "haircut", or trim 50% of Greece's debt. However, financial problems Greece continues with low taxes and gathering together the tertekannya economy of the community due to the austerity program. Factories which had succeeded after Greece joined the European Union now faded, huge projects abandoned, and rampant unemployment after the Government whatsoever do LAYOFFS against officers of the public sector.

In the midst of the situation, political conditions in Athens failed to reach kemapanan. The Prime Minister and Cabinet alternates determine policy without any significant results. Community who are tired with the "stuffed" Europe finally voted for a Leftist Coalition won the anti-bailout on election day January 2015. Alexis Tsipras became the sixth Prime Minister of Greece since the debt crisis erupted in 2008.

Alexis Tsipras Graffiti In The Campaign

Since then, the duo Tsipras and Minister Yanis Varoufakis, a robust, continuously you met with the Troika in determining the direction of the next Greece. With respect to the people's suffering incurred due to exorbitant taxes and unemployment is rampant, the Government recently rejected the demands of the Troika to let Greece austerity programs run longer and ask a number of different reform proposals with a lighter fiscal austerity. Nevertheless, the troika demanded Greece in order to fully implement the austerity program that they ask, if it is to stage the next bailout Fund was launched. While the Treasury always empty and Greece bailout funds on hold the Troika, the due date of payment installment debt Greece arrived.

Back Into The Hands Of The People

On Saturday, at the end of the prolonged debt chaos, PM Tsipras announced procurement of referendum 5 July 2015 coming with the blessing of Parliament. This referendum will ask the people of Greece, are they willing to accept the proposed terms of the Troika (the European Union, the IMF, and ECB) in order to get bailout funds, or are they will reject the terms of the Troika. When the people of Greece turned out to vote "yes", then Greece will again receive a bailout and was forced to run programs, austerity with continues to be part of the Euro. If not, then chances are it will push Greece to get out of the Economic Union of the Euro.

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Lining up early morning in Greece ATM

The announcement of the referendum it was tumultuous all parties to direct long queues snaking at local GAS STATIONS and ATMS. The Government of Greece soon implement capital control policy, such as restricting the transfer of funds from the inside out. Not long ago, the meeting of the Board of Governors of the European Central Bank (ECB) on Sunday decided not to raise the upper limit of aid ELA who last raised on Friday.