How will Greece's debt crisis be resolved?

In the global markets, where the risk appetite considerably varies, while we are talking about the ongoing interest arguments around the FED in one week, on the other week we are focusing on the unresolved debt crisis in Greece.

The perception in the markets is changing each passing day….

The US dollar, which gained acceleration as the FED implied to increase the interest in the near future, is once again declining as the data related with the US economy is below the expectations.

In the same way, we are seeing that Greece's active meetings with the creditors have a direct effect on the Euro. So much that, while the expectations directed at reaching an agreement on the matter of debts are providing added value for the Euro, the opinion that Greece will fall in delinquency and leave the Euro Zone is causing a record low level in the Euro.

As it can be seen, these two unresolved matters are directly influencing the risk hunger in the markets.

We need to state that, especially the Greece matter is representing a great importance from the point of Europe's political and economic unity and thus from the point of global economy's progress.

How will the debt crisis in Greece be resolved?

We can see that Greece, who returned empty handed from the meeting with the Euro Zone's finance minister, still couldn't get a result from the ongoing negotiations with the creditors.

While not reaching consent on the matter of reforms during the meetings with the EU and IMF representatives, Greece also has demands like having a cut back in the debts and extending the maturity date; however, their task is not as easy as it had been in 2012. Such that, while Greece owed debts to the private investment companies in the cut back in 2012, now it can be observed that they owe debts to other countries. Since the related countries are not leaning towards a cut back, no solution can be provided.

Greece's, who has 313 billion euro debt in total, marginal Minister of Finance, Varoufakis is another problem source …

After pulling all the attention on himself with his attitude against consent, Varoufakis had been removed from his coordinator role in the negotiation process with the EU and the IMF, and, his close colleagues have been removed from the committee. The developments in this direction are pointing out that rather than falling delinquent and leaving the Euro Zone, Greece will come to consent with the EU and the IMF.

What happens if Greece falls delinquent and leaves the Euro Zone?

While the risk of becoming delinquent is increasing every day as the deadlock continues, the possibility of Greece's departure from the Euro Zone has taken its place among the scenarios. In the case that Greece leaves the Euro Zone, it's possible to say that the possibility of disengagements in the Euro Zone is high. Such that; the environment of uncertainty, which will be formed after Greece leaves the Euro, will be causing the serenity of Southern Europe countries like Portugal, Spain and Italy to deepen and pave the way for these countries to have a tendency towards similar solutions like Greece.

Even though Greece's departure scenario is an increasing headline recently, Germany, who is making the highest gain from the usage of joint currency, will not be allowing it. Moreover, it shouldn't be disregarded that no country, institution and government will want to take the responsibility in the process of Greece's departure from the Euro. Thus, it could be said that Greece has no other alternative solution than to come to consent with the EU and the IMF, while the Euro Zone's finance ministers have the other option of making certain capitulations towards Greece.