The Greece debt crisis explained in less than 100 words

What happens if the banks run out of money?

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The Independent Online

Greeks have voted in support of their prime minister Alexis Tsipras to shun the austerity proposals of Greece's European lenders.

Not sure what that means? Here's the Greece debt crisis in less than 100 words:

Greece owes European countries and international bodies €340bn borrowed over the past five years.

To afford the debt repayments, Greece made huge cuts leaving many impoverished.

In February, a fed-up population elected the left-wing Syriza party.

As Greece lagged on repayments, they were told to make more cuts, or lose aid. Syriza refused and asked the people whether they agreed in Sunday’s referendum. They did.

The big problem now is Greek banks are running out of money. If they do, Greece will have to start printing its own currency – the drachma - and drop out of the euro.

If you want to read more, click on any of the links below:

Yanis Varoufakis resigns after being 'forced out'
Greeks say ‘No’ to austerity and plunge Europe into crisis
EU facing biggest crisis in history
Germany hits back at Greek ‘terrorism’ claims
Thomas Piketty: 'German conservatives are destroying Europe'
What does a ‘No’ vote in the referendum mean?
Will Greek troubles spill over to the rest of Europe and UK?
A history of how Greece got to this place

 

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