On Sunday, the national referendum called by Prime Minister Alexis Tsipras for approval of proposed austerity measures was overwhelmingly defeated by Greek voters.
After final counting was completed, 61% of voters opposed drastic spending concessions to the European Union as a condition of further extensions and bailouts.
The results of the referendum came after a week of instability in Greece and in the EU as banks remained closed across the Mediterranean nation.
Greece’s financial situation is dire as ATMs across the country have run out of cash and physical currency remains at dangerously low levels.
With no emergency bailout from the European Central Bank expected any time soon, Greece may be forced to begin issuing a new currency as Euros continue to dwindle.
What’s more, the financial fallout threatens to spread to the entire Balkan region as many of the banks in surrounding nations are Greek-owned.
Should those banks begin raiding customer deposits, as many as 30% of account holders in other nations could be affected.
Additionally, Greece’s finance minister Yanis Varousfakis resigned. From the BBC:
Greece’s outspoken finance minister has resigned, hours after voters backed his call to reject creditors’ demands for more austerity in a referendum.
Yanis Varoufakis said it was felt his departure would be helpful in finding a solution to the country’s debt crisis.
Eurozone finance ministers, with whom he repeatedly clashed, had wanted him removed, Mr Varoufakis explained.
Euclid Tsakalotos, who has been negotiating with Greece’s creditors in recent months, has been sworn in as his replacement.