European leaders are poised to announce a multibillion-pound rescue of the Greek economy today to try to stop its debt crisis spreading to other countries and wrecking the euro.
Last year Britain was being urged again to dump the pound and join the Euro so as to “rescue” our economy and telling us that how by adopting the European Currency we would strengthen our financial future, how quickly things change.
Germany will be expected to put up most of the money and after years of misleading Greek statistics, fiddles and broken promises of reform, the rescue plan is likely to infuriate conscientious German taxpayers. Nevertheless, it is increasingly seen as the least worst option. Another would be for a German state owned bank to buy the debt but that would only expose Berlin’s exposure to a crash.
One possible outcome of the crisis would be the break-up of the euro.
Another longer-term plan under discussion is the creation of a “European monetary fund” to avoid the humiliation of having to call in the IMF to save the euro. France and Germany in particular have invested a great deal of prestige in the Euro.
Would it be so terrible if the Euro ceased to exist, Personally I think it would be a good thing for Country’s to take their identity’s back, this one glove fits all strategy was always going to unravel, and the Greek’s could be the catalyst.
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