Saturday, February 21, 2015

Greece and the Euro.

A 4 month reprieve has been bought but don't think it's over. Greece really has the EU over a barrel. If they walk away from their debts and the Euro it calls into question the whole European project and will boost the other anti-EU / Euro / austerity parties around Europe.

Since it was first proposed in the mid 90s, I've always said that the Euro would happen and survive irrespective of economics, logic and finances as long as the politicians wanted it to survive. So far that has always been the case - everyone knew that most countries didn't qualify for the Euro at its launch by the rules set out but they all got in anyway.

For the first time though there is a question mark over its survival as suddenly there are politicians flirting with power who are openly and actively anti-Euro.

The "big powers" can't let Greece go for fear of it being the first card in a house made of them. Greece has more power than many are giving them credit for.