Greeks have shocked the leaders of the EU by declaring an overwhelming ‘No’ vote, rejecting the austerity terms stipulated by Greece’s international creditors.
With the result of the referendum showing more than 60% of the turnout voting against the terms, this signifies a huge landslide victory for left wing Prime Minister Alexi Tspiras.
The result of the referendum – with more than 60% voting No – represents a sensational victory for the country’s radical left prime minister Alexis Tsipras, who had gambled all on the outcome. However, it leaves the Greek people staring at an uncertain future.
Opponents Warnings to Greeks ‘No’ Vote
Opponents warn that a new bailout deal is needed fast in order to avoid the catastrophic crash that may send Greek finances spiralling and out of the single currency.
The Greek Prime Minister hailed voters after their “very brave choice”, claiming that he would be seeking an immediate recommencement of talks with the country’s creditors in the Eurozone alongside the International Monetary Fund.
However, with Greek banks briskly finding themselves cash strapped and circling the brink of collapse, leaders from the EU didn’t appear to be in any hurry to continue or re-engage with Athens.
The two biggest players in the Eurozone (German Chancellor Angela Merkel and the President of France Francois Hollande) are to meet on the 7th of July in Paris.
At the same time, David Cameron and Chancellor George Osborne will meet with Bank of England governor Mark Carney and other senior officials to discuss the impact likely to be seen on the United Kingdom.
Supporters of the Syriza Government flooded Athens Syntagma Square to celebrate what they see as a glorious triumph over rejection of austerity.
Not everyone shares these celebratory feelings, as European politicians warned Mr.Tsipras has now sent his country on a “path of bitter austerity and hopelessness”.
Although the UK are not part of the Euro and its single currency bloc, the Chancellor George Osborne has given warning that Britain cannot be insulated from any “financial turmoil”.
Mr.Tspiras has urged Greece to come together in a televised address, claiming “victory for democracy”. Yanis Varoufakis, the Greek Finance Minister, has said that the country will now put plans in motion to reach out to the IMF, European Commission and the European Central Bank, in order to find a way forward.
However, Germanys Deputy Chancellor has stated that it is hard to envisage further bailout talks with the Government of Greece after a No vote.
Jeroen Dijsselbloem, the Dutch finance minister and chair of the Eurozone group of finance ministers, called the result “very regrettable for the future of Greece.