Senior figures within the Syriza party have said the third bailout plan will prove unworkable and that Greece should prepare for a possible fourth bailout and a return to the drachma
Some members of Greece's leftist government wanted to raid central bank reserves and hack taxpayer accounts to prepare for a return to the drachma
during the financial crisis in the nation, according to Reuters.
Lafazanis, leader of a hardline faction in the ruling Syriza party that has argued for a return to the drachma
, said the move would have allowed pensions and public sector wages to be paid if Greece were forced out of the euro.
A devaluation of the drachma
to, say, 50 percent of the euro's value would make Greece instantly competitive and a magnet for investment.
All of the country's contracts, including its debt contracts with foreigners, should be converted into drachma
would fall precipitously and then be blown around by subsequent political and economic developments.
Under this proposal all euro-denominated contracts governed by Greek law (loans, wages, rents etc) would convert from the euro to a new drachma
on a one-for-one basis.
The leader believes it was a clear endorsement for the country to remain in the eurozone after speculation this second election in six weeks could lead to Greece returning to the drachma
Going back to the Drachma
would mean Greece could no longer service its debts or pay public workers.
The company is reported to be preparing to print an alternative Greek currency and has retrieved old moulds of drachma
The company is reported to be preparing to print an alternative Greek currency, and has retrieved old moulds of drachma
Syriza have vowed to block cuts, which is likely to mean Greece being forced out and returning to the drachma
Syriza have vowed to block cuts which is likely to mean Greece being forced out and returning to the drachma
If Greece leaves the euro and adopts the drachma
again, visitors on holiday will most likely see their money go much further, because leaving the euro will almost certainly devalue the new currency against the pound.
In Athens, he asks a destitute family, the former finance minister and the outgoing prime minister whether they feel a return to the drachma
would be a good thing.