Twilight of euro

Twilight of euro

Euro twilight

Exactly so recently entitled Krugman’s post and we, having followed its example, we will arrange under this title the current situation description. Certainly, so colourful it will not be, however nevertheless it will be interesting to you to familiarize with it.

So, if you at least watch news a little, already for certain in a course that euro is for a long time under the threat as uniform currency for all Eurozone. Debt crisis in Europe made the gloomy business, having left us to watch consequences. At present already many banks say that as currency the existence can stop euro already soon. And to that there are some preconditions.

It is quite probable that next month Greece will leave the European Union, and therefore will return to the national currency. At present many investors of the Spanish and Italian banks try to transfer the means to Deutsche Banks, which in this situation as metal racks, seem (and, actually, are) reliable and durable whereas the Italian and Spanish banking institutions, apparently, already settled a stock of the longevity.

There is a small probability of that there will be new restrictions in financial operations – restriction on transfer of means from the country to the country and a limit on removal of money from accounts. As attraction of large-scale credit loans European Central Bank for refinancing of banks and their rescue from crash is quite possible.

In case of loans, Germany will have an opportunity to choose from two evils. The first option represents recognition beyond Italy and Spain of debts and loan depreciation for them. The second is an immediate crash of euro. Is from what to choose and, undoubtedly over what seriously to reflect.

If earlier years are necessary for all these processes, now some months hardly is required.

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