EU Goes Into State of Emergency Preparation As Greek Talks Fail

It was only a matter of time before Greece was going to run out of options to pay its massive debt. That time has now come as Germany’s EU commissioner has confirmed that talks between the European Union and Greece have collapsed and the time has come for the EU to make a decision on Greece’s future.

The EU commissioner has asked the EU to be ready for a “state of emergency” as Greece has only two more weeks left for its loan repayment of €1.5 billion to the International Monetary Fund. Greece’s Prime Minister Alexis Tsipras has stated that the country has no more options to raise funds and was upset that Greece’s creditors were not willing to be more reasonable in extending their credit period.

When the deadline is over, the European Union will make a decision and could possibly expel Greece from the European Union. The commissioner has asked the EU to be ready and have on standby energy and medical supplies, pharmaceutical products and cash for police officials to avoid a disaster.

IMF chief economist Olivier Blanchard shared his views via a blog and wrote “Just as there is a limit to what Greece can do, there is a limit to how much financing and debt relief official creditors are willing and realistically able to provide given that they have their own taxpayers to consider.”

Prime Minister Alexis Tsipras stated that there is nothing much Greece can do now considering the financial situation they are in but remains optimistic that country’s creditors will have a change of mind and work out a new deal with Greece.