European sovereign debt crisis

The European sovereign debt crisis was a financial crisis where several countries in Europe, like Greece, Ireland, Portugal, Spain, and Italy, faced severe debt problems. They borrowed too much money to fund government programs and couldn't repay or refinance their debts as economic growth slowed. This led to high borrowing costs, fears of default, and the need for bailout aid from the EU and international lenders. The crisis highlighted weaknesses in economic policies, financial regulation, and the interconnectedness of economies, causing instability across the eurozone and prompting reforms to prevent future crises.