CNBC: Time for Capital Controls in Greece

CNBC’s article, titled “Time to Talk About Capital Controls in Greece” states that Greece’s economy and its banking sector are feeling the strain of the impasse between Athens and its international creditors from the EC, ECB and IMF. Hence, ordinary people fear that their bank accounts may feel the squeeze that Greek banks, increasingly reliant on the ECB’s emergency funding, are feeling.

Analysts say that “Greece may have no option but to impose capital controls.” CNBC gives reasons for the rise in the risk of capital controls, such as the exit of cash due to the failure of Greece to reach a deal with its creditors as a series of loan repayments to the IMF loom, fuelling uncertainty about Greece’s future. Some analysts believe that it is likely for Greece to go the way of Cyprus.