Reuters - Video

Edition: US | UK | IN | CN | JP

Finance Videos

Greece hopes to avoid tourist troubles

Monday, June 29, 2015 - 01:42

Tourism is the only bright spot for Greece's struggling economy. As Sonia Legg reports, many in the industry fear it will be hit hard by the latest turmoil over a decision to call a referendum on austerity.

▲ Hide Transcript

View Transcript

It's one of the few industries still operating successfully in Greece. But the latest crisis has put tourism under threat. (SOUNDBITE)(English) TOURIST MIKITA YAMADA, FROM JAPAN, SAYING: "This machine is broken, so I don't get money" Greece has promised visitors will be exempt from the capital controls imposed on Greeks after the collapse of cash-for-reform talks. Travellers should be able to exchange currency and get cash out on their credit and banks cards. But there are no guarantees and some cashpoints have run out of euros. (SOUNDBITE)(English) JOKE GRUNEWEG, TOURIST FROM THE NETHERLANDS, SAYING: "It's a big problem of course but we were informed yesterday evening on the Dutch television, they told us please take as much money you can bring." (SOUNDBITE)(English) K.PEDERSEN, TOURIST FROM DENMARK, SAYING: "I knew it could happen and I am not scared. I think its a pity for the Greek people." There may be plenty of goodwill towards Greece. But that alone won't keep the country in the euro. Nick Parsons is from National Australia Bank (SOUNDBITE) (English) NICK PARSONS, HEAD OF MARKETS STRATEGY, NATIONAL AUSTRALIA BANK, SAYING: "As long as we don't see any stories of difficulties in the popular press - holidaymakers running out of money for example, I would have thought that the impact on tourism is going to be relatively muted. I think the Greek government and others will go out of their way to ensure that that reputation remains intact." But many thought the Greek government would go out of its way to keep the country in the euro. Instead it's fought to prevent more austerity. Combining the two is the challenge now. And tourists are likely to notice the crisis. Restaurants, shops and petrol stations fear cash flow restrictions will disrupt their businesses as payments and money transfers to accounts outside Greece are now banned. That could mean many foreign imports will be in short supply.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Greece hopes to avoid tourist troubles

Monday, June 29, 2015 - 01:42