The debt restructuring last week was deemed a success, but if Greece continues in its current state with no outside economic stimulus, it will burn through that 130 billion euros in no time.
FORTUNE -- French President Nicholas Sarkozy declared Friday that the long-running Greek debt "problem" had finally been "solved," following the successful implementation of a massive debt restructuring in the country. But while the restructuring was more successful than many had anticipated, even with the triggering of credit default swaps, Greece's debt woes, as well as those of the rest of the eurozone, are far from over. A longer-term and more robust solution will be needed before the "Mission Accomplished" banner can truly be rolled out on this long-running debt crisis.
The debt exchange that finally came to a head on Friday could serve as a template for future restructurings involving other peripheral eurozone members, like Portugal and Ireland. It was months in the making. Creditors, politicians, banks and bureaucrats from around the globe debated the issue ad nauseam until an agreement was put in place that would allow Greece to avert a humiliating hard debt default that would have jeopardized the stability of the euro. Read More