Greece Receives another Bailout
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Greece is receiving another bailout because the country does not have the means to pay 14.5 billion euros to its bondholders. Hilary Walsh, Economy, Finance and Trade Manager at Euromonitor International, explains that this particular bailout is very important to Greece, which has been in recession for five years. This new bailout requires that the Greek government fire 150,000 public sector workers by 2015, cut minimum wage by 22%, and lower pensions of more than 1,300 euros by 12%. In return for meeting these conditions Greece has arranged a debt swap for private bondholders. Based on the terms of the bailout, the European Union, the International Monetary Fund and the European Central Bank hope there will be no negative financial repercussions for the rest of the Eurozone.