German Chancellor Angela Merkel said that Athens has damaged the potential for dialogue with partners in the euro zone by refusing the insistence of austerity. (Reuters/Fabrizio Bensch)
Athens - France and Germany called for an emergency summit between euro zone leaders to discuss the Greek referendum that spawned a rejection of the European insistence on new debt.
As reported by Reuters, Sunday (5/7), German Chancellor Angela Merkel said that Athens has damaged the potential for dialogue with partners in the euro zone by refusing the insistence of austerity.
Merkel and French President Francois Hollande has been talking over the phone and will meet in Paris on Monday afternoon to discuss joint responses. European Council President Donald Tusk agreed the request of Germany and France, announced an emergency summit in Brussels, Belgium, on Tuesday night.
More than 60 percent of the Greek people in a referendum voted "no" to the terms of Europe, ie tax increases and reform of retirement benefits, for bailouts. Greek Prime Minister Alexis Tsipras who say Europe is extortion requirement was satisfied with the result.
The referendum result is expected to strengthen the position of Greece in the next negotiations. German Economy Minister Sigmar Gabriel said that Tsipras has cut the last bridge between Greece and Europe.
Not clear what the European response to face the results of this referendum. However, Greece is now faced with the major risk, namely the banking collapse that could force them out of the euro and return to print its own money, drachma.
Without emergency funding from the ECB, banks in Greece would run out of money in a matter of days. If so, the government was forced to print new money to pay retirement benefits and salary. (cnnindonesia)
0 comments