On the week of their nation’s Independence Day, Greece has a reason to celebrate with its friends once again. Just like in the 1820s, when British, French, and Russian naval forces arrived to help Greece overthrow the Ottoman Empire, which had ruled there since 1453, the inexpensive loans offered by the European Union in the 21st century rescued Athens from financial catastrophe to preserve that hard-fought independence.
Just two years ago, Greece was on the ropes. Today, investors are increasingly confident of the nation’s ability to pay its debts. Rarely has a country repaired its image with creditors so quickly.
In the short run, cheap loans from foreign lenders gave them the time needed to adjust their spending to the point that now, they are expected to return to economic growth this year.
(READ the story from Bloomberg News)