Eurozone at Risk from Bankrupt Nations, Greece Debt Soars Again with £303bn Owed

Greek public debt has significantly increased since last year reaching 193 percent of the country's GDP, the Express reported. Inflation for June was 11.6 percent, up from 10.5 percent in May last year. According to data from the Greek Statistical Service (ELSTAT), public debt increased by €13.417 billion (£11.4 bn) between Q1 2021 and Q2 2022. Public debt is now expected to exceed €357 billion (£303 bn). The worrying figure has alerted experts, who have warned that another collapse of the Greek economy could bring the whole eurozone down. And with Italy's political crisis looming on its economy, economists have warned of possible bankruptcy. Stefan Legge, an economics lecturer at the University of St.Gallen in Switzerland, told EURACTIV, “The fear is back that Italy or Greece or some other countries will not be able to afford higher levels of interest and could eventually go bankrupt." After Mario Draghi's resignation, a snap election has been set for Italy on September 25. Rumours of a snap elections are also going around in Greece as soaring energy, food and fuel prices are costing the government a lot of criticism. The euro also continued its retreat from a more-than-two-week high as disappointing activity data from France and Germany pushed the single currency lower, a day after the European Central Bank highlighted that the path for interest rates would be data-dependent. Read more.