Page 59 - Aruba Bank 24 JULY 2015
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WORLD NEWSFriday 24 July 2015
Greek store closures spike as recession, austerity return
A woman passes a kiosk selling tourist souvenirs in Athens, Thursday, July 23, 2015. Discussions commercial drag have dis- anything,” he said. “Ev-
over Greece’s third bailout in five years are set to begin in Athens imminently after Greece’s appeared behind white- eryone is scared to spend
parliament approved Thursday tough new conditions set by European creditors. washed windows — all vic- money because they
tims of the crisis. don’t know what will hap-
(AP Photo/Giannis Papanikos) “It’s over for Greece,” said pen”
Pradinoudis. “We won’t Locked out of international
DEREK GATOPOULOS recover for another 50 bond markets in the spring
Associated Press years.” of 2010, the country has
ATHENS, Greece (AP) — The downturn worsened relied on foreign rescue
Giorgos Prasinoudis ran his after the late-June deci- money to pay its debts —
motocycle repair shop in sion by the Greek govern- on condition that tough
Athens for three decades, ment to impose a series of austerity measures, such
through good times and strict controls on the free as cuts to spending and
bad. Now a “For Sale” sign flow of money, with a pal- increases in taxes were im-
hangs outside the window. try 60-euro ($66) a day limit posed.
Empty storefronts are again on daily withdrawals from The cost has been huge.
a feature of Greece’s ATMs. Though banks re- A million jobs, mostly in the
towns and cities as spend- opened this week for the private sector, have been
ing dries up in a crisis that first time in more than three lost since then — around a
put Greece’s future in the weeks, the ATM withdraw- fifth of the country’s work-
euro in doubt. The tales of al limit is unchanged and force.
hardship are repeated up cash is becoming scarce. But after appearing to sta-
and down the country of For an economy where bilize last year, the Greek
nearly 11 million people. cash payments are the economy has faltered
In Pradinoudis’ neighbor- norm, that’s a huge prob- again even as unemploy-
hood of Koukaki, a bakery, lem. ment remains high. At last
grocer, barber and several Prasinoudis’ wife and count, unemployment was
clothing shops on the main 11-year-old daughter have still over 25 percent and
already moved to Germa- more than 50 percent for
ny — ironically the country the under-25s.
blamed for many of the Alongside the capital
economic and social prob- controls, the government
lems afflicting Greece. On imposed a new round of
Wednesday, the repair- austerity, raising sales taxes
man sat drinking coffee and levies on businesses,
on the sidewalk outside his while maintaining emer-
repair shop, reflecting bit- gency taxes on house-
terly on his fate. “I hope my holds that have eaten up
daughter learns German disposable incomes. Early
and doesn’t come back,” Thursday, parliament ap-
he said. “Not even for a proved a second round of
holiday.” Hardware store measures demanded by
owner Costas Kitsos says rescue creditors for a new
sales have plummeted bailout. Retail associations
since capital controls were fear a return to the peak
imposed on June 29. levels of unemployment
“People come into the around 2012 when they
shop but they ask about were hit by a surge of busi-
the prices and don’t buy ness failures.q
France:
Farmers block roads over low meat, milk prices
SYLVIE CORBET northwestern Normandy Farmers say their profits
Associated Press region, is a UNESCO World are being chipped way by
PARIS (AP) — Angry French Heritage Site. Tourists were cheap imports and pres-
farmers relented Thursday forced to park their cars sure from grocery chains.
after a day of protesting along the road and walk for Low prices have put about
low milk and meat prices several kilometers (miles) to 10 percent of France’s live-
by blocking roads to Mont the famous island. stock farms on the verge of
Saint-Michel and the Alps The farmers blocked three bankruptcy, according to
— but warned that other major highways for eight the government.
agricultural protests are on hours around the eastern Farmers were angry after
the horizon. city of Lyon, a gateway to the French government
The farmers used tires, the Alps and the south of offered to back loans for
tractors and tree trunks France. Traffic backed up farmers and delay tax
to block roads all around 25 kilometers (15 miles) by payments as part of a 600
the country a day before mid-day. million-euro ($654 million)
many French take to the Some roads in western agricultural plan but it did
roads to start their summer France, a region with many not give any direct finan-
vacations. milk and pork farms, were cial aid in order not to
Mont Saint-Michel, in the also jammed. break EU market rules.q
