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Greeks rush to withdraw cash after PM Tsipras announces austerity deal referendum | Greeks rush to withdraw cash after PM Tsipras announces austerity deal referendum |
(about 2 hours later) | |
Greeks are rushing to withdraw money from cash machines following their prime minister's announcement of a referendum on whether the country should accept bailout terms proposed its creditors. | Greeks are rushing to withdraw money from cash machines following their prime minister's announcement of a referendum on whether the country should accept bailout terms proposed its creditors. |
Greece's Alpha Bank has stopped all online transactions over the weekend, according to its website. | Greece's Alpha Bank has stopped all online transactions over the weekend, according to its website. |
The referendum announcement by Alexis Tsipras, the Greek prime minister, marks the latest twist in months of negotiations between Greece and its creditors. | The referendum announcement by Alexis Tsipras, the Greek prime minister, marks the latest twist in months of negotiations between Greece and its creditors. |
The vote is scheduled for 5 July. Greeks will be asked whether the country should accept a debt financing deal hammered out in often fraught negotiations with European lenders in recent weeks. | The vote is scheduled for 5 July. Greeks will be asked whether the country should accept a debt financing deal hammered out in often fraught negotiations with European lenders in recent weeks. |
Greek negotiators have spent five months thrashing out a deal with the their country's three main creditors - the EU, the European Central Bank and the International Monetary Fund (IMF),collectively known as the Troika. | Greek negotiators have spent five months thrashing out a deal with the their country's three main creditors - the EU, the European Central Bank and the International Monetary Fund (IMF),collectively known as the Troika. |
Greece's creditors appeared unfazed by the Greek announcement. | Greece's creditors appeared unfazed by the Greek announcement. |
Greek gov't spox Sakellaridis says ECB's Draghi showed understanding for Tsipras's choice during phone call. Dep PM Dragasakis to meet him | Greek gov't spox Sakellaridis says ECB's Draghi showed understanding for Tsipras's choice during phone call. Dep PM Dragasakis to meet him |
Sigmar Gabriel, the German vice-chancellor, said that the referendum on austerity demands should not be dismissed out of hand, but that it was vital that voters had a clear deal on which to vote. | Sigmar Gabriel, the German vice-chancellor, said that the referendum on austerity demands should not be dismissed out of hand, but that it was vital that voters had a clear deal on which to vote. |
In an interview with Deutschlandfunk radio, Mr Gabriel said such a referendum would only make sense if voters in Greece got the chance to cast their ballots on the European Union's offer for aid linked to reforms. | In an interview with Deutschlandfunk radio, Mr Gabriel said such a referendum would only make sense if voters in Greece got the chance to cast their ballots on the European Union's offer for aid linked to reforms. |
"We'd be well advised not to dismiss this suggestion from Herr Tsipras out of hand and say 'that's just a trick'," Mr Gabriel was quoted as saying. | "We'd be well advised not to dismiss this suggestion from Herr Tsipras out of hand and say 'that's just a trick'," Mr Gabriel was quoted as saying. |
"But rather if the questions are clearly framed ... then that could make sense." | "But rather if the questions are clearly framed ... then that could make sense." |
Greeks will be asked whether they accept the austerity terms demanded by the country's creditors (Getty) The Troika wants a deal on austerity measures before it unfreezes €240bn (£5.1bn) in bailout money that would resolve the country's most immediate financial woes. | Greeks will be asked whether they accept the austerity terms demanded by the country's creditors (Getty) The Troika wants a deal on austerity measures before it unfreezes €240bn (£5.1bn) in bailout money that would resolve the country's most immediate financial woes. |
Athens is due to repay just over £1bn to the IMF on 30 June. | Athens is due to repay just over £1bn to the IMF on 30 June. |
Without continuation of loans from the Troika, the Greek government will default on its existing debts and Greece will almost certainly be forced out of the euro. | Without continuation of loans from the Troika, the Greek government will default on its existing debts and Greece will almost certainly be forced out of the euro. |
Mr Tsipras was elected in January on an anti-austerity platform but has found himself unable to resist austerity measures demanded by the Troika. | Mr Tsipras was elected in January on an anti-austerity platform but has found himself unable to resist austerity measures demanded by the Troika. |
Konstantinos Chrysogonos, a Syriza MEP, told BBC 2's Newsnight: "It's obvious that the deal that creditors are proposing to the Greek government is beyond the popular mandate this government has." | Konstantinos Chrysogonos, a Syriza MEP, told BBC 2's Newsnight: "It's obvious that the deal that creditors are proposing to the Greek government is beyond the popular mandate this government has." |
(Additional reporting by agencies) | (Additional reporting by agencies) |