The Greek Parliament voted yesterday in support of new austerity measures as Prime Minister Alexis Tsipras tries to convince European creditors to approve a third bailout for the debt ridden country. European creditors have made it clear that the only way a third bailout might be considered will be contingent on Greece making drastic changes.
Despite the Syriza party coming to power on the back of promises to end austerity measures, prevailing circumstances have made the fulfillment of that promise impossible.
The Eurogroup is set to make a decision on whether or not to give a third bailout to Greece. Reports indicate that there is a huge chance the Eurogroup refuses to grant the bailout.
Such refusal will lead to what is already being described as the “Grexit”, the exit of Greece from the Eurozone which is bound to have far reaching consequences for many countries.
The austerity measures will include raising retirement age, increasing taxes on Greek Islands as well as cutting military spending amid other policies. Greece is said to require an estimated 55 billion Euros to sustain its fragile economy
