Greece exit averted: For now!

So, Greece succeeded in cracking a deal with European Union and got a bail out and a growth package. Overall it looks like Greece negotiated very well and got a lot more in spite of its situation being at the receiving end. Of course, EU wants some tough stance to be taken by Greece so that situation may at some point of the time normalize.

One of the important aspect asked by EU to Greece is to bring in laws to reform its economy. This will include some heavy decisions to be on the pension scheme and the tax revenue.

EU also expects Greece to liberalize the labor market.

It also expects privatization of electricity networks in the country.

There is also an expectation to keep the shops  open for a longer time, some how making people to spend money and let money come in market, which otherwise is hiding in people's trunk.

EU also wants Greece to design a systematic methodology including formation of a trust fun, a short term bridge financing  to avoid bankruptsy.

In return, EU will do all possible things to keep Greece with in EU. It will also be taking help of IMF in providing assistance to the country.

 

All said and done, the worse is not over, just postponed for some more time. Surprisingly, this deal had a positive effect on our stock market. Though, the fall wasn't that significantly observed during the fall out few days back, the positive approach has really boosted the stock market. For a change, after a long time, the market was appearing green.

Lets see how things take turns in future. It is too early too speculate anything, but according to me, it will be a miracle, if Greece will come out of bankruptsy and stabilize its society in near future.
For clearer understanding of the negotiated conditions, follow this link
http://www.bbc.com/news/world-europe-33504487