Hope we do not meet the same fate as people of Greece

Today, our economic pundits, along with the rest of the world, are discussing the fate of Greece.

One friend asked me to explain the cause of the grave financial problems faced by Greece, and he was flummoxed to hear that it was because of the decision of certain pompous political masters of the time to hold the centenary Olympic games in Greece, to which the international community agreed.

Let us note that the massive earthquake of 1999 had devaststed Greece, particularly the capital city Athens, and Greece had borrowed a substantial sum for reconstruction and rehabilitation efforts.

In this backdrop, it was a bit risky to hold the Olympic games as it was more of an emotional issue. Other than the historic significance of holding the Olympic games, the idea behind the proposal was the expectations of giving a boost to the tourism which was expected to bolster the nation's economy.  

It so happened that due paucity of funds, just like India, coupled with lack of financial discipline, the venues for the games were completed in the last minute. The games were held as usual, passed off without much hindrance but the delay in completion of sporting venues and facilities, which was visible to all, failed to encourage the sports lovers and the games turned out to be a financial disaster. 

Despite all this, the economy of Greece was moving on with it being a member of the Combined European Union, and with full support from the international financial bodies, donors nations, etc.

However, the economy never picked up the desired speed and the or the global meltdown and recession since 2008 has only accentuated the situation, with other nations like Ireland, Portugal, and even Italy, being considered among the category of failed economies, by European standards.

Thereafter, while Ireland has stabilised a lot, and Portugal is limping up to regain normalcy, and Italy is no more seen as a problem case, but Greece continues to teeter on crutches.

The austerity measures endured by the populace for nearly a decade is harming the economy more and the lenders are adamant on recovering their pound of flesh ( as in a popular classic drama). 

Nearer home, we too had come much closer to a similiar situation in early 1990s and we had to first pawn out gold to raise funds to meet the impending loan payment crisis and later we had to engage in complete overhaul of our economy to stay afloat, including inviting foreigners to invade our markets. 

I do hope that we do not meet the same fate as the people of Greece, and let us remain optimistic.