On Monday morning Greeks found their savings blocked, banks closed and the Athens Stock Market also not open after a dramatic 48 hours of sensational developments in Greece’s battles with creditors. Prime Minister Alexis Tsipras’ announcement for a referendum on July 5 set people running to ATMs prompting measures to be taken.

A decree – titled ‘Bank Holiday break’ – was signed by Prime Minister Alexis Tsipras and President Prokopis Pavlopoulos and published in the official government gazette at dawn on Monday. It cited “the unforeseen need to protect the Greek financial system and the Greek economy due to the lack of liquidity caused by the Eurogroup’s decision on June 27 to refuse the extension of the loan agreement with Greece.”

The decision to place limits to borrowing came on Sunday after the European Central Bank froze the liquidity lifeline that has kept Greece afloat over the last six-month run in deposits.

Key measures:
* All banks are shut until July 6 – including branches in other countries – however people using cards issued in foreign countries will not be affected as yet
* ATM withdrawals are limited to 60 euros per day and will be shut until noon on Monday
* Stock exchange closed on Monday
* Wages and pensions will be paid electronically as expected
* Credit card purchases will remain unaffected
* Internet banking will continue
* Foreign transfers to bank accounts in other countries need the Finance Ministry’s approval

With this economy the Greek economy is entering unchartered territory as everybody’s money is blocked escalating fears of anything happening. While public sector wages and pensions are getting paid it is unknown as to whether private-sector wages will be paid. The 60-euro limit to withdrawals effectively renders the market in a zombie state. Small and medium-sized businesses are in danger with catering companies also at risk as they will not have the required funds to ensure their operation.

The Prime Minister’s message on Sunday (with English subtitles):

On a brighter note: