One of the biggest changes to the Greek economy is “Capital Control”, a new system put in place to make sure citizens don’t move money to overseas bank accounts.
Even though these controls will save the Greek economy from total ruin, it is also forcing all digital stores outside of Greece to not accept credit or debit cards. That means iTunes, iCloud, the iOS and Google App Store and PayPal will not work in Greece.
This is a big deal, considering subscription services like Netflix, Spotify and Apple Music will no longer be available to Greek citizens. It means international companies either have to set up in Greece, or lose all of the customers in the country.
It is a lose-lose for customers and companies, but it doesn’t look like either can do much about it. The Capital Controls are set in place for a good reason, to stop businesses from moving money into safer bank accounts outside of Greece, but that comes with the adverse effect of not allowing any payments to companies outside of Greece to go through.
The Greek government has not said when it intends to removes these controls. Considering the huge effect the “No” vote will have on the country, we may see a full exit from the EU, which could lead to a new currency and failure in economy.
There are not a lot of countries with these same restrictions, although in countries like North Korea, Iran, China and Pakistan there are some bans on certain international companies products and services.
Leaders of European nations are gathering to discuss new terms with Greece, but the country seems hellbent on leaving Europe if it cannot get the right deal. It even went as far as bringing up Germany’s reparation payments from WWII, even though Germany has paid those back in full over 50 years ago.