U.K. banks are being asked to put emergency plans in place as the Bank of England awaits a Greek Eurozone exit. Greek has been struggling with debt for the past few years, and the Bank of England is concerned that the United Kingdom’s stability may be at risk due to the current turmoil in the country.
Contingency plans are in place to help the U.K. deal with the initial shock of a Greek exit.
Greece has been working with international lenders in hopes of revising their bailout terms and is calling for greater leniency from lenders. Negotiations have failed so far, with lenders insisting that the indebted country implement the already agreed-upon economic changes.
Greece’s economy is in such turmoil that it’s suggested that the country will run out of money by the end of April. Greece’s government is trying to have lenders release the next portion of the bailout money in hopes of saving the country’s economy. Without money, many countries in the European Union fear that Greece will default on its debt and leave the Eurozone.
In total, Greece has debts of 240 billion euro. If the country were to default, this would send shockwaves through the Eurozone, harming many economies along the way.