Europe tensely awaits Greek voters' bailout decision

German Chancellor Angela Merkel and other EU leaders awaited with trepidation the outcome of a referendum in Greece on Sunday that is already dividing opinion in Europe and could even shape its future.

After months of fruitless talks with its creditors, Greece's dramatic bid to place a bailout decision in the hands of its people will have an impact far beyond the heavily-indebted country's borders, analysts warn.

"Fateful election", "nightmare of bankruptcy", "no-one's winning", "hardship in Greece", "Greek troops and police prepare for street battles" — the crisis grabbed front-page headlines and appeared to galvinize people around Europe.

The closely fought vote on whether to support the terms of Greece's potential bailout deal with its international creditors is an indicator for future negotiations, said Julian Rappold of the German Council on Foreign Relations.

With fears a 'No' vote could lead to Greece exiting the eurozone — a so-called "Grexit" — Pawel Tokarski of the German Institute for International and Security Affairs said its impact would reach much further.

It will "determine the future trajectory of European integration," he said.

Merkel, seemingly sanguine last week in remarking that Europe could "calmly" await the result of the referendum because the bloc was "strong", has been at the forefront of efforts to resolve the crisis.

Now, the head of Europe's biggest economy is "faced with a dilemma", Rappold said.

If Greece were to leave the euro, it would signify the failure of Europe's crisis management that Merkel has championed though years of economic turbulence..........AFP..........http://timesofindia.indiatimes.com/world/europe/Europe-tensely-awaits-Greek-voters-bailout-decision/articleshow/47947523.cms
5/7/15
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Related:

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• On eve of referendum, Greek finance minister accuses creditors of 'terrorism' (...nos han forzado a cerrar los bancos)

• Chaos needs to be managed well if Greek people say 'no' in referendum (Former PM)