Everybody knows that the Greek Parliament approved the 5-year austerity plan despite protests outside the Parliament building. But observers think that the Greek crisis will erupt again by the latest in September when Greece must meet certain targets to get the next slice of loans approved last year. Without this loan Greece will again be plunged into the crisis that it just narrowly averted.
Some worry that the Greek government will fall. Protestors loudly booed the vote. Youths battled the police in the streets of Athens. A member of Parliament was attacked for his vote in favor of the austerity measures.
This is why the Wall Street Journal, in its editorial of June 30, 2011 “The French Deception”, decried the EU’s latest move in handling the Greek debt crisis. The newspaper pronounced doom on it: “Europe’s latest Greek debt scheme is one more political evasion.”
Clearly there is no choice, and time is running out. Germany must guarantee those bonds.