Eurozone crisis

Eurozone-crisisThe Eurozone crisis had happened mainly in the counties of Greece, Portugal, Ireland, Italy and Spain with different levels of crisis, these five countries were called in urgent danger, in 2011 the British Bank said that the financial crisis was the most serious since 1930.

How the Eurozone crisis started

Everything started in 2008 and 2009 with the slow growth of United States so then all the countries, especially the European ones, started their own crisis. Greece was one of the first countries to go in crisis because of the debts who were bigger than the population. After Greece other countries experienced crisis, such a “domino effect”: Portugal, Ireland, Spain and Italy.

The European Union had taken action since the first signal of Eurozone crisis but it was so slowly that almost we didn’t see any change or steps forward. The European Union had a decision to rescue first Greece in 2010 with a $163 billion loans. After that, Ireland has been saved followed by Portugal. How countries are saved? The Eurozone member countries have an organization called EFSF (European Financial Stability Facility) that helps and provide resources to face financial emergencies and hard times.

Because of the Eurozone crisis, financial markets went on crisis as well, so many Banks broke. Spain and Ciprus are two typical examples of that. In the North of America, United States and Canada have been (and are still today is connected with the crisis in Europe due to the its participation in the European market.

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