Once a holiday destination for millions looking to escape their usual fast-paced lifestyles, Greece has become ridden with protesters rather than sun-kissed tourists in recent years. With a poverty rate that has doubled since 2008, Greece has endured difficult times as a result of its recession. As of 2015, Greece’s poverty rate was sitting at 23.2%.

To put this statistic in perspective, the poorest country in the European Union (E.U.) currently has a poverty rate of 20%. The case of Greece is particularly intriguing as their poverty rate is only three percent higher than a country much poorer. This begs the question, what happened to Greece?

October 2009 sounded the alarm of a future of debt and recession for Greece, as it was discovered the government had been understating their deficit figures for years. Greece became the leper of the financial world as it was cut off from borrowing money and spiraled into bankruptcy around 2010.

A bailout of 240 billion euros from the International Monetary Fund, European Central Bank and the European Commission should have marked a turning point in the Greek economy, but rather than using the bailout to strengthen the economy, it was simply used to pay off existing debts. This led unemployment to skyrocket to 25%, creating an economy that has fallen a quarter in five years and heavily contributed to Greece’s poverty rate.

The years of 2008 to 2013 saw Greeks become 40% poorer. This decline has led to the rise in poverty and is a direct result of the high unemployment rate, particularly for Greece’s youth. Half of the citizens under 25 are unemployed. This age group suffers disproportionately more than others, which spells trouble for the economy and well-being of such a fragile country. Those under 25 are the future, and Greece’s poverty rate will continue to rise if they are unemployed and disadvantaged.

Two bailouts, a recession and a record-breaking poverty rate later, Greece has not been able pull itself from the worst financial crisis in its history. Nearly a decade later, Greece is still living in the nightmare that is bankruptcy and debt. There is hope for the future, but currently, Greece is looking for solutions.

– Sophie Casimes

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