Carry cash to avoid the debt crisis in Greece

Money matters: protesters in Greece are furious at the nation's financial woes
Simon Calder10 April 2012

How will our half-term holiday in Rhodes be affected by the debt crisis in Greece? - Carrie Hill, Wolverton

You probably won't notice a thing. Greece's apparently unsustainable borrowing will, no doubt, have profound long-term consequences for the nation.

For the markets, one extreme scenario is that Greece defaults on its debts, tumbles out of the euro and reintroduces some form of "new drachma" that allows it to devalue. But that is all to do with restructuring the economy and should not impact on your trip.

One possible effect is getting there and back again. Many groups of workers in Greece, from air-traffic controllers to taxi drivers, have taken action in protest at the way the Greek government is handling the crisis.

You could find your outbound or inbound flight delayed if airspace is temporarily closed (assuming you are on a package holiday, it won't be cancelled).

Secondly, local distrust of the banks could see local traders switching to a cash-based economy. I am hearing some anecdotal evidence that some restaurants are declining credit cards and insisting on payment in cash.

So if I had the good fortune to be travelling to Greece this month, I would make sure to take a wad of euros with me.

Email your travel queries to simon.calder@standard.co.uk

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