Grexit 'would be catastrophic for Greece'

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<p>Greek PM Alexis Tsipras has told the European Parliament that his government will present specific proposals to its creditors this Thursday, in a last-ditch effort to relaunch negotiations as the risk of a so-called Grexit grows. Greece has also asked for a new loan from its European partners. A so-called last chance EU summit is scheduled for this coming Sunday. </p> Georgios Daremas is an advisor to the Greek government. He is optimistic that Greece will be able to reach a deal by Sunday and stay in the eurozone. Failing that, he says that the &ldquo;most viable solution&rdquo; in the case of a Grexit would be to introduce an alternative currency, such as IOUs. However, Daremas believes that this&nbsp;scenario &ldquo;would be catastrophic for Greece&rdquo;. He warns that a dual currency system would lead to a black market in euros and that the new currency&rsquo;s value would likely depreciate quickly, leading to high inflation. Visit our website: france24.com Like us on Facebook: facebook.com/FRANCE24.English Follow us on Twitter: twitter.com/France24_en