Greece Preparing “Alternative Currency”, Kathimerini Says

• Greece Preparing “Alternative Currency”, Kathimerini Says
  by Tyler Durden, www.zerohedge.com  
  On Tuesday, Latvia’s central bank chief Ilmars Rimsevics called the introduction of a new currency in Greece the “most realistic scenario.”
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  The country is in its second week of capital controls and banks remain shut in the wake of a referendum which saw some 61% of Greeks vote against the terms of the latest bailout deal proposed by the troika. 
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  Now, Germany has indicated that any new proposal will come with harsher terms to reflect the recent deterioration in the Greek economy. Furthermore, Berlin’s stance on debt writedowns for Greece (which the IMF deems necessary if Athens is to return to fiscal sustainability) has hardened, meaning it will now be exceptionally difficult for Tsipras to fulfill the implicit promise he made to his people when he campaigned for a referendum “no” vote. 
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  Given all of this, it now appears increasingly likely that Greece will be forced to return to the drachma or will at least be compelled to issue some manner of scrip in the face of an acute cash shortage and a worsening credit crunch which together threaten to leave government employees in the lurch and cut off the flow of imported goods.
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  Sure enough, Kathimerini says the Greek government is indeed preparing for the launch of an “alternative currency.” Here’s more (Google translated):
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  read more.

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