Though there is a lot of noise concerning the Greek crisis and the Greek economy is likely going to collapse this week, three months from now no one will remember Greece going bankrupt, financial commentator Jim Rogers told RT.
RT: In Athens crowds have rallied calling for people to vote ‘no’ in the upcoming referendum on accepting the terms of another EU bailout. If Greece rejects the European money what would this mean for the rest of Europe?
Jim Rogers: …Greece is a tiny part of the European economy and it’s nothing, it’s insignificant for the world economy. It’s a lot of headlines and a lot of noise; it will cause the markets to be disrupted for a while. But three months from now none of us will remember if Greece goes bankrupt.
RT: Greek banks will stay closed for a week. How is that going to affect the economy there?
JR: Of course it’s going to affect it badly. If you cannot get your money you cannot spend it and we are not reverting to a barter economy yet anyway. Of course the Greek economy is going to collapse this week and probably for a while. People are terrified and you would be too, so would I.
RT: Greece blames the EU for the debt crisis, but its finances and policies have been in a parlous state since before joining the euro. Surely it should take some responsibility?
JR: The Greek economy has been in a bad shape for…years, it goes back to when they became independent a long time ago. You are exactly right. This economy has been having recurring crises since they joined the EU. This has been going for several years now. If you ask me what they should do – is just go ahead and go bankrupt, get it over with and start it over. But all this calling names and blaming other people is not going to do any good.
RT: Citizens are restricted to withdrawing only €60-a-day from their bank accounts for at least a week. Do you think they will reject the EU’s terms come Sunday?
JR: I’m sure they will reject the EU terms. The problem is this means that the citizens of Greece are going to be suffering and the bailout is for the banks and financiers. What they should do is to let the banks go bankrupt – they made their loans, you and I didn’t make the loans – let them go bankrupt and start it over.