Dewhirst says that there has been a significant amount of “scaremongering” from the euro elite about the ramifications of a “Grexit” but that it would be feasible and even orderly.
Not everyone is worried about the Eurozone ‘Grexit’ that may take place as soon as June 18th, the day following Greece’s latest elections.
From Nick Dewhirst, director at wealth management firm Integral Asset Management:
Dewhirst said that there had been a significant amount of “scaremongering” from the euro elite about the ramifications of a “Grexit” but that it would be feasible and even orderly.
“It’s a bit like Y2K, [also known as the Millennium bug, the much- hyped problems that would affect computers globally as the year changed to 2000] there would be a lot less to it then everyone thinks.
“The Greek banking system would close for a week and there’ll be a new currency. Not the drachma but ideally it would be two Geuros (the name given to a possible Greek parallel currency) to one euro so they devalue and fix to the euro,” Dewhirst said.
He added that this would transform Greece and the rest of the euro zone for the better.
“Greeks would no longer be able to afford German cars and Germans would be able to buy Greek villas and the young unemployed in Greece would have jobs as tourism booms. The best thing would be that they [Greeks] could blame the foreigners,” Dewhirst said.
He said suggestions of a bank run and contagion have been overplayed by some quarters.
“Yes, the banks would run dry but it can be done, there is a lot more money electronically than there is cash. In Argentina they closed everyone’s bank account and then they were reopened using Pesos. The club would rally round the rest so the weaker members – Spain, Italy, Ireland and Portugal -would receive a massive support mechanism. The Germans would provide support to the rest of the euro but not to the Greeks,” he said.
