Greece votes No


Greek voters have voted No in the referendum yesterday which means they have rejected a bailout deal which had been put forward by the ‘institutions’ on 25th June.

Voter turnout was 62.5% and of those 61.31% voted No whilst 38.69% voted Yes.

Following the result Yanis Varoufakis, the Greek Finance Minister, announced that he was resigning after EU negotiators made it clear that he was not welcome at any future meetings. He announced the decision on his blog saying “Soon after the announcement of the referendum results, I was made aware of a certain preference by some Eurogroup participants, and assorted ‘partners’, for my… ‘absence’ from its meetings; an idea that the Prime Minister judged to be potentially helpful to him in reaching an agreement. For this reason I am leaving the Ministry of Finance today.”

What happens now is unclear. Asian financial markets dropped as the results became known. A series of high level discussions are taking place in Brussels this week including one between German Chancellor Angela Merkel and French President François Hollande, the two countries with the most at stake in securing a deal.

Meanwhile Greek banks are likely to run out of money in the next couple of days and there is no guarantee that the European Central Bank (ECB) will be prepared to put in more cash, the so called Emergency Liquidity Assistance (ELA), after the vote result.

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