Eurozone Needs Reforms to Survive No Matter What Happens to Greece – Study

The Eurozone cannot survive in its current form and will need to be overhauled regardless of what happens with Greece, a new study by the ECU Group has shown.

MOSCOW (Sputnik) — The study outlined that “by some measures” the eurozone economies are currently more divergent than at any time since 1982, which makes a single interest rate “increasingly unsuitable for its members.”

“The real political crisis will arise when Eurozone leaders are forced to confront the dilemma of the single currency’s inflexibility: integrate or disintegrate. What has happened in Greece is one example of how the situation in Europe is degenerating. No one should believe that Greece will be the only member country that struggles to remain in the Eurozone,” the study concluded, as quoted by the Telegraph.

The study also highlighted significant divergences between Eurozone countries in politics and social habits, citing, for instance, lower saving rates in Europe’s south as opposed to Finland and the Netherlands.

The issue of the Eurozone's longevity has received particular attention from researchers due to the current economic crisis in Greece and the possibility of the country leaving the bloc.

Later on Monday, EU leaders will discuss the Greek situation at an emergency Summit in Brussels. The Summit was called after Eurogroup finance ministers failed to reach an agreement last week on how to prevent Greece from defaulting on its debt.