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Greek debt crisis: Grexit possible, says EC boss - live Greek debt crisis: Grexit possible, says EC boss - live
(35 minutes later)
3.47pm BST15:47
Oops. The Greek finance minister's notes....
Euclid Tsakalotos appears to have committed a schoolboy error at his first eurogroup meeting, by allowing his notes (written on hotel paper!) to be photographed.
It includes a reminder to avoid any “triumphalism” (presumably following Sunday’s referendum)
The personal notes of Euclid Tsakalotos before the #Eurogroup pic.twitter.com/WKLtKVdXbd
3.46pm BST15:46
The Eurogroup is officially over, according to
social media manager
Finland’s finance chief, Alex Stubb:
That's it for today's #Eurogroup.
3.35pm BST15:35
European Council president Donald Tusk and ECB president Mario Draghi are discussing the Greek situation, before tonight’s emergency summit.
#Tusk @eucopresident meets #ECB @ecb President #Draghi ahead the #EuroSummit on #Greece http://t.co/AS65CNLcaz pic.twitter.com/KFiLEDrWx6
3.32pm BST15:32
This crisis is no laughing matter, chaps.
Oops. Can't blame Euclid. He's new. #eurogroup pic.twitter.com/dAsfhFPOd6
3.27pm BST15:27
No pushing at the back! The press pack are ready to watch Jeroen Dijsselbloem’s statement following the end of Eurogroup meeting.
Hier legt @J_Dijsselbloem straks een verklaring af, bijna onhoorbaar en niet live uitgezonden. #topklasse pic.twitter.com/4zlsTHel24
3.20pm BST15:20
As if there wasn’t enough drama, Alexis Tsipras is to address the European Parliament on Wednesday morning:
That’s via EP president Martin Schulz:
After our phone conversation @tsipras_eu confirmed he will be coming to plenary tomorrow morning
#Greek Prime Minister #Tsipras will participate in the #EP debate on #Greece tomorrow at 9h45. https://t.co/z7QV8N4LvU
Updated at 3.29pm BST
3.12pm BST15:123.12pm BST15:12
You can watch eurozone leaders arrive for tonight’s Greek summit here: EbS Live and possibly also here EbS+ Live.You can watch eurozone leaders arrive for tonight’s Greek summit here: EbS Live and possibly also here EbS+ Live.
Updated at 3.15pm BSTUpdated at 3.15pm BST
3.09pm BST15:093.09pm BST15:09
Disappointing: Jeroen Dijsselbooem’s statement following the Eurogroup meeting may not be streamed live....Disappointing: Jeroen Dijsselbooem’s statement following the Eurogroup meeting may not be streamed live....
@jameskanter neither- it will be recorded, then made available asap on TV Newsroom.@jameskanter neither- it will be recorded, then made available asap on TV Newsroom.
I’m sure the Brussels press pack will do their usual bang-up job of tweeting the key points, though....I’m sure the Brussels press pack will do their usual bang-up job of tweeting the key points, though....
3.04pm BST15:043.04pm BST15:04
As one meeting ends, another is beginning....As one meeting ends, another is beginning....
Mario Draghi, the ECB president, just arrived at tonight’s summit of Eurozone leaders, but slipped inside without speaking to the press.Mario Draghi, the ECB president, just arrived at tonight’s summit of Eurozone leaders, but slipped inside without speaking to the press.
3.02pm BST15:023.02pm BST15:02
All may not be lost -- Euclid Tsakalotos has apparently outlined Greece’s plans to the rest of the eurogroup: All may not be lost -- Euclid Tsakalotos has apparently verbally outlined Greece’s plans to the rest of the eurogroup:
May not have submitted written proposals, but Greek FinMin made a "good presentation" at the #Eurogroup meeting - source tells me #GreeceMay not have submitted written proposals, but Greek FinMin made a "good presentation" at the #Eurogroup meeting - source tells me #Greece
But will it be good enough, given the remarkable news that Athens didn’t produce some written proposals.But will it be good enough, given the remarkable news that Athens didn’t produce some written proposals.
We’ll find out in a few minutes...We’ll find out in a few minutes...
Is #Eurogroup drawing to close already. Jeroen Dijsselbloem expected to make statement around 16.10 Bxl time. #GreeceIs #Eurogroup drawing to close already. Jeroen Dijsselbloem expected to make statement around 16.10 Bxl time. #Greece
Updated at 3.13pm BST Updated at 3.23pm BST
2.59pm BST14:592.59pm BST14:59
The British Ambassador to Greece, John Kittmer, has issued a statement - reassuring tourists that his staff are prepared to help then enjoy their holidays:The British Ambassador to Greece, John Kittmer, has issued a statement - reassuring tourists that his staff are prepared to help then enjoy their holidays:
“My teams in Athens and on Rhodes, Corfu, Crete and Zakynthos are here to support British nationals who find themselves in need. As we enter peak holiday season we have strengthened our consular offices.“My teams in Athens and on Rhodes, Corfu, Crete and Zakynthos are here to support British nationals who find themselves in need. As we enter peak holiday season we have strengthened our consular offices.
“Greece is a hospitable country, and Greeks will do all they can in exceptional times to make tourists welcome. There are no reports from tour operators to suggest that there are disruptions to services on the islands. My Embassy has been planning carefully, so that British holiday makers arrive well prepared and can complete their holidays with peace of mind.”“Greece is a hospitable country, and Greeks will do all they can in exceptional times to make tourists welcome. There are no reports from tour operators to suggest that there are disruptions to services on the islands. My Embassy has been planning carefully, so that British holiday makers arrive well prepared and can complete their holidays with peace of mind.”
But as flagged earlier, tourists shouldn’t count on being able to access cash or medicines during their stay.But as flagged earlier, tourists shouldn’t count on being able to access cash or medicines during their stay.
2.51pm BST14:512.51pm BST14:51
It does appear that today’s Eurogroup has failed to make progress....It does appear that today’s Eurogroup has failed to make progress....
Statement from @J_Dijsselbloem in 30 mins after Greeks fail to submit new proposal to the #eurgroup but will wait until Weds. @tsipras_euStatement from @J_Dijsselbloem in 30 mins after Greeks fail to submit new proposal to the #eurgroup but will wait until Weds. @tsipras_eu
2.49pm BST14:492.49pm BST14:49
Word from Brussels - Jeroen Dijsselbloem, Eurogroup president, will speak in around half an hour:Word from Brussels - Jeroen Dijsselbloem, Eurogroup president, will speak in around half an hour:
We are told that @J_Dijsselbloem will give a short statement in+/- 30 minutesWe are told that @J_Dijsselbloem will give a short statement in+/- 30 minutes
2.48pm BST14:482.48pm BST14:48
Britain has updated its travel advice for holidaymakers, to warn that Greek banks will remain closed until at least the close of business on 8 July.Britain has updated its travel advice for holidaymakers, to warn that Greek banks will remain closed until at least the close of business on 8 July.
It also advices that people take enough cash, and medicines, for the full length of their stay and any “unexpected delays”, and warns that cash machines and credit card transactions “could potentially become limited at short notice.”It also advices that people take enough cash, and medicines, for the full length of their stay and any “unexpected delays”, and warns that cash machines and credit card transactions “could potentially become limited at short notice.”
Updated at 2.49pm BSTUpdated at 2.49pm BST
2.33pm BST14:332.33pm BST14:33
The confusion continues:The confusion continues:
Greece Submits Same Proposals as Before at Eurogroup Meeting -Greek Govt OfficialGreece Submits Same Proposals as Before at Eurogroup Meeting -Greek Govt Official
Greek Govt Official: Proposals Not Discussed During Last Eurogroup MeetingGreek Govt Official: Proposals Not Discussed During Last Eurogroup Meeting
Greek Govt Official: Finance Ministers Decided To Wait For Outcome Of ReferendumGreek Govt Official: Finance Ministers Decided To Wait For Outcome Of Referendum
2.20pm BST14:202.20pm BST14:20
Multiple sources are now reporting that Greece hasn’t brought new proposals to the Eurogroup (as rumoured earlier).Multiple sources are now reporting that Greece hasn’t brought new proposals to the Eurogroup (as rumoured earlier).
The FT’s Peter Spiegel says:The FT’s Peter Spiegel says:
According to a third eurozone official, Greece will instead present its new plan tomorrow.According to a third eurozone official, Greece will instead present its new plan tomorrow.
GREEKS HAVEN'T MADE NEW PROPOSAL YET, GERMAN OFFICIAL SAYSGREEKS HAVEN'T MADE NEW PROPOSAL YET, GERMAN OFFICIAL SAYS
No wonder Euclid looked rather melancholy as he arrived at today’s meeting.No wonder Euclid looked rather melancholy as he arrived at today’s meeting.
Beware Greeks not bearing proposalsBeware Greeks not bearing proposals
Bet your bottom euro that tomorrow....Bet your bottom euro that tomorrow....
Updated at 2.22pm BSTUpdated at 2.22pm BST
2.14pm BST14:142.14pm BST14:14
No vote not a mandate for breaking away from eurozone - Greek presidentNo vote not a mandate for breaking away from eurozone - Greek president
EC president Donald Tusk has been speaking to Alexis Tsipras to prepare for tonight’s meeting:EC president Donald Tusk has been speaking to Alexis Tsipras to prepare for tonight’s meeting:
Earlier today I was in touch with Greek PM @atsipras to prepare tonight's #EuroSummit on #Greece. #GreferendumEarlier today I was in touch with Greek PM @atsipras to prepare tonight's #EuroSummit on #Greece. #Greferendum
Meanwhile here is the letter from Greek president Prokopis Pavlopoulos to Tusk outlining Monday’s declaration by most of the country’s party leaders, which he hopes will lead to a “viable agreement”.Meanwhile here is the letter from Greek president Prokopis Pavlopoulos to Tusk outlining Monday’s declaration by most of the country’s party leaders, which he hopes will lead to a “viable agreement”.
He also maintains the No vote was not a mandate for leaving the eurozone.He also maintains the No vote was not a mandate for leaving the eurozone.
July 7, 2015July 7, 2015
Dear Mr. President,Dear Mr. President,
I would like to inform you that following a request by the Prime Minister of Greece Mr. Alexis Tsipras, I called a meeting yesterday of the political leaders of the Parties of the Greek Parliament, in which a common declaration was adopted by all Parties except the Communist Party of Greece stating the following:I would like to inform you that following a request by the Prime Minister of Greece Mr. Alexis Tsipras, I called a meeting yesterday of the political leaders of the Parties of the Greek Parliament, in which a common declaration was adopted by all Parties except the Communist Party of Greece stating the following:
The recent vote of the Greek people in the referendum does not constitute a mandate to break away from the Euro zone, but a mandate to continue and strengthen the effort for attaining a socially just and economically viable agreement. The Government will assume the responsibility of continuing negotiations, and every political leader will contribute to this effort on the basis of their institutional and political role.The recent vote of the Greek people in the referendum does not constitute a mandate to break away from the Euro zone, but a mandate to continue and strengthen the effort for attaining a socially just and economically viable agreement. The Government will assume the responsibility of continuing negotiations, and every political leader will contribute to this effort on the basis of their institutional and political role.
The common goal, in this context, is the pursuit of a solution that will ensure:The common goal, in this context, is the pursuit of a solution that will ensure:
- Covering, sufficiently, the financial needs of the country- Covering, sufficiently, the financial needs of the country
- Credible reforms, based on a fair distribution of burdens and the promotion of growth, with as few recessionary consequences as possible- Credible reforms, based on a fair distribution of burdens and the promotion of growth, with as few recessionary consequences as possible
- A strong, front-loaded developmental program, primarily oriented to confronting unemployment and encouraging entrepreneurship- A strong, front-loaded developmental program, primarily oriented to confronting unemployment and encouraging entrepreneurship
- A commitment to beginning a substantial discussion on confronting the problem of the viability of Greek public debt- A commitment to beginning a substantial discussion on confronting the problem of the viability of Greek public debt
The Political Leaders also underlined that the restoration of liquidity in the Greek banking system, in coordination with the ECB, constitutes an immediate priority.The Political Leaders also underlined that the restoration of liquidity in the Greek banking system, in coordination with the ECB, constitutes an immediate priority.
The aforementioned consensual decision of most Greek Parliamentary parties constitutes a crucial opportunity for all euro zone partners to reach an economically and politically viable agreement.The aforementioned consensual decision of most Greek Parliamentary parties constitutes a crucial opportunity for all euro zone partners to reach an economically and politically viable agreement.
I remain,I remain,
Sincerely yoursSincerely yours
Prokopis PavlopoulosProkopis Pavlopoulos
Updated at 2.15pm BSTUpdated at 2.15pm BST
2.06pm BST14:062.06pm BST14:06
Not a promising sign:Not a promising sign:
#Greece Deputy min of Administrative Reform Katrougalos, says it's technically impossible for the banks to open this week#Greece Deputy min of Administrative Reform Katrougalos, says it's technically impossible for the banks to open this week
Same reason it it 'technically impossible' for me to by a new Ferrari today - not enough cash.. https://t.co/KkTYITUMQhSame reason it it 'technically impossible' for me to by a new Ferrari today - not enough cash.. https://t.co/KkTYITUMQh
1.56pm BST13:561.56pm BST13:56
After today's #Eurogroup meeting, president @J_Dijsselbloem is expected to speak at the VIP entrance of the Justus Lipsius building. #GreeceAfter today's #Eurogroup meeting, president @J_Dijsselbloem is expected to speak at the VIP entrance of the Justus Lipsius building. #Greece
Could be a short statement after a short meeting if Greece really hasn’t brought any new proposals to the table.Could be a short statement after a short meeting if Greece really hasn’t brought any new proposals to the table.
Updated at 1.59pm BSTUpdated at 1.59pm BST
1.56pm BST13:561.56pm BST13:56
Photos: Euclid and the EurogroupPhotos: Euclid and the Eurogroup
Euclid Tsakalotos has attended eurogroup meetings before, but today is the first time he’s arrived as a full-blown finance minister.Euclid Tsakalotos has attended eurogroup meetings before, but today is the first time he’s arrived as a full-blown finance minister.
He’s been welcomed by Eurogroup president Jeroen Dijsselbloem (who probably isn’t pining for Yanis Varoufakis):He’s been welcomed by Eurogroup president Jeroen Dijsselbloem (who probably isn’t pining for Yanis Varoufakis):
Before getting down to business:Before getting down to business:
It can be a lonely business, being Greece’s finance minister:It can be a lonely business, being Greece’s finance minister:
Especially if everyone else wants to listen to Wolfgang Schäuble:Especially if everyone else wants to listen to Wolfgang Schäuble:
And then they got down to business, discussing Greece and its new proposals (assuming there are any.....)And then they got down to business, discussing Greece and its new proposals (assuming there are any.....)
Updated at 2.01pm BSTUpdated at 2.01pm BST
1.52pm BST13:521.52pm BST13:52
The eurozone leaders meeting has been put back by half an hour, says Jennifer Rankin in Brussels, but this is nothing unusual.The eurozone leaders meeting has been put back by half an hour, says Jennifer Rankin in Brussels, but this is nothing unusual.
Updated at 2.03pm BSTUpdated at 2.03pm BST
1.37pm BST13:371.37pm BST13:37
Greece came without new proposals - Kathimerini reportGreece came without new proposals - Kathimerini report
Surely not?Surely not?
Acc to info:Greeks came without proposals.Tomorrow will submit new request and proposals.#EurogroupAcc to info:Greeks came without proposals.Tomorrow will submit new request and proposals.#Eurogroup
Updated at 1.54pm BSTUpdated at 1.54pm BST
1.09pm BST13:091.09pm BST13:09
A good sign ahead of the summit (as seen by Kate Connolly in Berlin)?A good sign ahead of the summit (as seen by Kate Connolly in Berlin)?
Is the fusion cuisine in the #Bundestag cantine a sign that #Greeks & Germans can come together? #Moussaka&KrautSalat pic.twitter.com/11w7HBSFUZIs the fusion cuisine in the #Bundestag cantine a sign that #Greeks & Germans can come together? #Moussaka&KrautSalat pic.twitter.com/11w7HBSFUZ
Updated at 1.09pm BSTUpdated at 1.09pm BST
12.59pm BST12:5912.59pm BST12:59
Irish finance minister Michael Noonan is hopeful for a new proposal:Irish finance minister Michael Noonan is hopeful for a new proposal:
Irish FinMin Noonan: I hope the proposal will be a formal application for new programme - which is a sustainable approach. #EurogroupIrish FinMin Noonan: I hope the proposal will be a formal application for new programme - which is a sustainable approach. #Eurogroup
But he said:But he said:
There is a lot to do in a very short period of time, so I don’t think we’re looking at a conclusion today. But I hope there’s proper engagement.There is a lot to do in a very short period of time, so I don’t think we’re looking at a conclusion today. But I hope there’s proper engagement.
12.54pm BST12:5412.54pm BST12:54
More from Finland’s Alexander Stubb.More from Finland’s Alexander Stubb.
We are looking at three things.We are looking at three things.
One. The short term financial needs of Greece. Money is running out, at the latest by 20 July.One. The short term financial needs of Greece. Money is running out, at the latest by 20 July.
Two. The role of Greece in the eurozone after the referendum.Two. The role of Greece in the eurozone after the referendum.
Three. We have to deepen economic co-operations inside the euro.Three. We have to deepen economic co-operations inside the euro.
We are not looking at Grexit.We are not looking at Grexit.
On a possible deal today:On a possible deal today:
I am an eternal optimist but I don’t think we will have a result today. It is about listening and learning what the Greek government will do after the referendum.I am an eternal optimist but I don’t think we will have a result today. It is about listening and learning what the Greek government will do after the referendum.
We won’t be able to put forward any new commitments.We won’t be able to put forward any new commitments.
We will keep the doors to negotiations open.We will keep the doors to negotiations open.
We are not in the business of renegotiating debt.We are not in the business of renegotiating debt.
Updated at 1.40pm BSTUpdated at 1.40pm BST
12.38pm BST12:3812.38pm BST12:38
Pierre Gramegna of Luxembourg ( which currently holds the presidency) said they respected the results of the referendum, but now new proposals were needed.Pierre Gramegna of Luxembourg ( which currently holds the presidency) said they respected the results of the referendum, but now new proposals were needed.
We need to understand how [the Greek government] will resolve the contradiction - they want to stay in the eurozone but they say the proposals on the table are not acceptable.We need to understand how [the Greek government] will resolve the contradiction - they want to stay in the eurozone but they say the proposals on the table are not acceptable.
[On debt relief] we have to look at all the options, everything must be discussed.[On debt relief] we have to look at all the options, everything must be discussed.
12.34pm BST12:3412.34pm BST12:34
Lithuania’s Rimantas Sadzuis said what was needed was more clarity, following the referendum result.Lithuania’s Rimantas Sadzuis said what was needed was more clarity, following the referendum result.
Grexit is not the option for us. The eurozone should expand rather than contract.Grexit is not the option for us. The eurozone should expand rather than contract.
But Greece needs to perform reforms.But Greece needs to perform reforms.
In politics there is always room for compromise.In politics there is always room for compromise.
12.28pm BST12:2812.28pm BST12:28
Spain’s Luis de Guindos said Grexit is not what anyone wants:Spain’s Luis de Guindos said Grexit is not what anyone wants:
Spain's De Guindos: We are in the last seconds of this crisis - don't think #Grexit is a solution which anyone wants.Spain's De Guindos: We are in the last seconds of this crisis - don't think #Grexit is a solution which anyone wants.
Spanish FinMin De Guindos: The bansk are closed - they can't open. There isn't time. #GreeceSpanish FinMin De Guindos: The bansk are closed - they can't open. There isn't time. #Greece
De Guindos: When asked about debt relief - this is not a urgent q right now. We first have to decide on if conditions can be implemented.De Guindos: When asked about debt relief - this is not a urgent q right now. We first have to decide on if conditions can be implemented.
De Guindos: The most important thing is if the rules can be followed. Any programme has conditions. #GreeceDe Guindos: The most important thing is if the rules can be followed. Any programme has conditions. #Greece
Updated at 12.29pm BSTUpdated at 12.29pm BST
12.21pm BST12:2112.21pm BST12:21
More talk of Grexit, this time from Latvian finance minister Jānis Reirs:More talk of Grexit, this time from Latvian finance minister Jānis Reirs:
Latvia's fin min: we put our house in order quickly after ec crisis. Not against #Grexit to strengthen eurozoneLatvia's fin min: we put our house in order quickly after ec crisis. Not against #Grexit to strengthen eurozone
Latvian people do not understand the Greek people, says Janis Reirs. They are surprised abt referendum outcome.Latvian people do not understand the Greek people, says Janis Reirs. They are surprised abt referendum outcome.
I would have difficulties trusting Mr Varoufakis, hard to say about Tsipras b/c no personal dealings, says Latvia's fin min. #GreeceI would have difficulties trusting Mr Varoufakis, hard to say about Tsipras b/c no personal dealings, says Latvia's fin min. #Greece
Updated at 12.22pm BSTUpdated at 12.22pm BST
12.21pm BST12:2112.21pm BST12:21
More quashing of hopes on Greece’s debt, from Finnish finance minister Alexander Stubb.More quashing of hopes on Greece’s debt, from Finnish finance minister Alexander Stubb.
Finnish FinMin Stubb: Not Looking At Bridge Financing For Greece - BBG $EURUSDFinnish FinMin Stubb: Not Looking At Bridge Financing For Greece - BBG $EURUSD
*FINLAND'S STUBB SAYS NOT WILLING TO EASE GREECE'S DEBT BURDEN*FINLAND'S STUBB SAYS NOT WILLING TO EASE GREECE'S DEBT BURDEN
Updated at 12.40pm BSTUpdated at 12.40pm BST
12.16pm BST12:1612.16pm BST12:16
German finance minister Wolfgang Schäuble, asked if Greece can keep the euro, said you must ask the Greek goverment (quote from Reuters)German finance minister Wolfgang Schäuble, asked if Greece can keep the euro, said you must ask the Greek goverment (quote from Reuters)
Lost in translation? Schaeuble Says He’s Waiting ‘With Excitement’ For Greece’s Offer #Greece #Germany #EurogroupLost in translation? Schaeuble Says He’s Waiting ‘With Excitement’ For Greece’s Offer #Greece #Germany #Eurogroup
Schaeuble: Greek government has fought with great success that it does not want a program, it has also gained big majority for thisSchaeuble: Greek government has fought with great success that it does not want a program, it has also gained big majority for this
Schaeuble: But without a program there is no possibility within the frame of the euro zone to help Greece”Schaeuble: But without a program there is no possibility within the frame of the euro zone to help Greece”
Schaeuble: Everybody who knows European treaties knows that a debt cut would fall under the prohibition of a bailoutSchaeuble: Everybody who knows European treaties knows that a debt cut would fall under the prohibition of a bailout
12.13pm BST12:1312.13pm BST12:13
Grexit cannot be excluded - DombrovskisGrexit cannot be excluded - Dombrovskis
EC vice president Valdis Dombrovskis said:EC vice president Valdis Dombrovskis said:
If trust is not rebuilt, if there is no credible reform plan in place [Grexit] cannot be excluded.If trust is not rebuilt, if there is no credible reform plan in place [Grexit] cannot be excluded.
12.07pm BST12:0712.07pm BST12:07
Slovakia sceptical of deal todaySlovakia sceptical of deal today
Slovakia’s Peter Kazimir said a viable deal was only possible at the highest level:Slovakia’s Peter Kazimir said a viable deal was only possible at the highest level:
I am sceptical a deal will be found today.I am sceptical a deal will be found today.
The referendum result did not change the reality of Greece.The referendum result did not change the reality of Greece.
Greece is behind the curve.Greece is behind the curve.
On debt relief, he said that was a red line:On debt relief, he said that was a red line:
For my country nominal debt relief is impossible.For my country nominal debt relief is impossible.
12.01pm BST12:0112.01pm BST12:01
As he arrived at the meeting, Belgium finance minister Johan Van Overtveldt said:As he arrived at the meeting, Belgium finance minister Johan Van Overtveldt said:
The [Greek] economy is in freefall.The [Greek] economy is in freefall.
The banking system is in freefall.The banking system is in freefall.
We don’t have much time.We don’t have much time.
It is all about the Greek proposalsIt is all about the Greek proposals
11.59am BST11:5911.59am BST11:59
So new Greek Finance Minister arrived in Brussels without saying anything. In early days Varoufakis couldn't stop himself. Different times.So new Greek Finance Minister arrived in Brussels without saying anything. In early days Varoufakis couldn't stop himself. Different times.
11.59am BST11:5911.59am BST11:59
Eurogroup not about debt relief - MoscoviciEurogroup not about debt relief - Moscovici
EC economic affairs commissioner Pierre Moscovic said the Eurogroup was not about discussing Greece’s debt.EC economic affairs commissioner Pierre Moscovic said the Eurogroup was not about discussing Greece’s debt.
EU economy commissioner @pierremoscovici asked about debt relief: "The eurogroup meeting is not about that today" #Greece #EurozoneEU economy commissioner @pierremoscovici asked about debt relief: "The eurogroup meeting is not about that today" #Greece #Eurozone
He said it was up to Greek government to give concrete proposals, to say where they want to go.He said it was up to Greek government to give concrete proposals, to say where they want to go.
There has been a lot of mistrust, we have to rebuild that.There has been a lot of mistrust, we have to rebuild that.
Let us see what the intentions of the Greek government are.Let us see what the intentions of the Greek government are.
11.49am BST11:4911.49am BST11:49
Eurogroup needs to see credible Greek proposals - DijsselbloemEurogroup needs to see credible Greek proposals - Dijsselbloem
Eurogroup president Jeroen Dijsselbloem said finance ministers were still waiting for the Greek proposals, and needed to see if they were credible.Eurogroup president Jeroen Dijsselbloem said finance ministers were still waiting for the Greek proposals, and needed to see if they were credible.
As he arrived at the Eurogroup meeting, he was asked if a new Greek finance minister would help talks, Dijsselbloem said it was not about personalities but “where we stand politically.”As he arrived at the Eurogroup meeting, he was asked if a new Greek finance minister would help talks, Dijsselbloem said it was not about personalities but “where we stand politically.”
The No [vote] means the old proposals were rejected, It is very difficult. We await the new proposals and see if they are credible.The No [vote] means the old proposals were rejected, It is very difficult. We await the new proposals and see if they are credible.
Asked if they had not already been delivered and were a version of the previous reforms, he said:Asked if they had not already been delivered and were a version of the previous reforms, he said:
You seem to have them, I am going in to see my colleagues.You seem to have them, I am going in to see my colleagues.
We have been doing whatever it takes to strengthen the eurozone and keep it together.We have been doing whatever it takes to strengthen the eurozone and keep it together.
We can’t have an outcome which would damage our credibility. It has to be credible for the future of Greece and the eurozoneWe can’t have an outcome which would damage our credibility. It has to be credible for the future of Greece and the eurozone
We will be working on that and hopefully getting a solution.We will be working on that and hopefully getting a solution.
11.30am BST11:3011.30am BST11:30
The eurozone finance ministers are arriving in Brussels (live feed here) but nothing revalatory so far:The eurozone finance ministers are arriving in Brussels (live feed here) but nothing revalatory so far:
French finmin Sapin arrives for #Eurogroup - no statementFrench finmin Sapin arrives for #Eurogroup - no statement
11.28am BST11:2811.28am BST11:28
Russia and Greece have played down the idea of any financial aid but:Russia and Greece have played down the idea of any financial aid but:
Apparently Russia made an offer to lend to Greece a couple weeks ago - #livesquawk sourcesApparently Russia made an offer to lend to Greece a couple weeks ago - #livesquawk sources
11.20am BST11:2011.20am BST11:20
Greece's reported proposalsGreece's reported proposals
Greece’s proposals to the Eurogroup will be broadly similar to the plan which was rejected in the referendum, according to Süddeutsche Zeitung (in German).Greece’s proposals to the Eurogroup will be broadly similar to the plan which was rejected in the referendum, according to Süddeutsche Zeitung (in German).
It would keep the VAT rebate for islands, leave VAT for restaurants at 13% and contain limited cuts in defence spending.It would keep the VAT rebate for islands, leave VAT for restaurants at 13% and contain limited cuts in defence spending.
VAT and pensions were of course the famous red lines, beyond which the Greek government would not go.VAT and pensions were of course the famous red lines, beyond which the Greek government would not go.
Meanwhile in the Stern report, Germany’s Gabriel hinted at the possibility of discussing debt relief but only if Greece agrees to reforms:Meanwhile in the Stern report, Germany’s Gabriel hinted at the possibility of discussing debt relief but only if Greece agrees to reforms:
“If we simply emphasize debt, without that much will change fundamentally in Greece, nothing is won,” said Gabriel; they could also talk about “the possibility of reducing the debt, only talk if the Greek Government also indicates that will implement reforms.”But he was confident “at the end we will find a way out of the crisis in Greece”.“If we simply emphasize debt, without that much will change fundamentally in Greece, nothing is won,” said Gabriel; they could also talk about “the possibility of reducing the debt, only talk if the Greek Government also indicates that will implement reforms.”But he was confident “at the end we will find a way out of the crisis in Greece”.
Updated at 11.24am BSTUpdated at 11.24am BST
11.12am BST11:1211.12am BST11:12
Oil has recovered some ground after a plunge on Monday.Oil has recovered some ground after a plunge on Monday.
Brent crude is currently up 1.75% at $57.53 a barrel following a drop of more than 6% on Monday. The price fall came as China’s stock market fell again, amid worries about the country’s future growth and thus its demand for oil, as well as the uncertainty caused by the Greek referendum. Talks in Vienna over Tehran’s nuclear programme could - if an agreement is reached - lead to increased supplies from Iran at a time of global oversupply.Brent crude is currently up 1.75% at $57.53 a barrel following a drop of more than 6% on Monday. The price fall came as China’s stock market fell again, amid worries about the country’s future growth and thus its demand for oil, as well as the uncertainty caused by the Greek referendum. Talks in Vienna over Tehran’s nuclear programme could - if an agreement is reached - lead to increased supplies from Iran at a time of global oversupply.
11.02am BST11:0211.02am BST11:02
ECB cautious of too generous emergency loansECB cautious of too generous emergency loans
The European Central Bank has clarified some of the rules on the emergency liquidity assistance, a day after tightening the conditions for Greece. In a document on its website the ECB suggested it was concerned that loosening the rules for Greece could lead others to act less responsibly. Bloomberg reports:The European Central Bank has clarified some of the rules on the emergency liquidity assistance, a day after tightening the conditions for Greece. In a document on its website the ECB suggested it was concerned that loosening the rules for Greece could lead others to act less responsibly. Bloomberg reports:
The Eurosystem’s functioning could be disrupted by “provision of ELA at overly generous conditions, which, in turn, could increase the risk of moral hazard on the side of financial institutions or responsible authorities,” the ECB said in a document published on its website Tuesday. “The objective of ELA is to support solvent credit institutions facing temporary liquidity problems. It is not a monetary-policy instrument.”The Eurosystem’s functioning could be disrupted by “provision of ELA at overly generous conditions, which, in turn, could increase the risk of moral hazard on the side of financial institutions or responsible authorities,” the ECB said in a document published on its website Tuesday. “The objective of ELA is to support solvent credit institutions facing temporary liquidity problems. It is not a monetary-policy instrument.”
The document on the ECB’s financial-risk management clarifies the conditions surrounding emergency bank aid at a time when policy makers are restricting the provision of such funding to Greek banks. The reference to moral hazard indicates that officials are worried that bending the liquidity rules for Greece, as the country heads for a possible default, may lead future recipients to act less responsibly.The document on the ECB’s financial-risk management clarifies the conditions surrounding emergency bank aid at a time when policy makers are restricting the provision of such funding to Greek banks. The reference to moral hazard indicates that officials are worried that bending the liquidity rules for Greece, as the country heads for a possible default, may lead future recipients to act less responsibly.
On Monday, the ECB increased the discounts on collateral for lenders receiving ELA from the Bank of Greece. That makes it more difficult for banks to access the funds that have kept them alive as deposit withdrawals accelerated amid uncertainty over the country’s place in the euro.On Monday, the ECB increased the discounts on collateral for lenders receiving ELA from the Bank of Greece. That makes it more difficult for banks to access the funds that have kept them alive as deposit withdrawals accelerated amid uncertainty over the country’s place in the euro.
Cash theoretically available to Greek banks fell from €18bn to €5bn after ECB increased haircuts, Kathimerini https://t.co/HiCnI6k3fhCash theoretically available to Greek banks fell from €18bn to €5bn after ECB increased haircuts, Kathimerini https://t.co/HiCnI6k3fh
Updated at 1.29pm BSTUpdated at 1.29pm BST
10.55am BST10:5510.55am BST10:55
Marks & Spencer boss Marc Bolland said he felt it was important to remain in Greece where the retailer has 20 stores via a joint venture that has been in place since 1978.Marks & Spencer boss Marc Bolland said he felt it was important to remain in Greece where the retailer has 20 stores via a joint venture that has been in place since 1978.
He told reporters following a trading update: “We have taken steps to continue to trade there at the moment. The situation might change every day but over the last week stores have been trading at 60% to 70% [of the level of normal sales]. At a time when people are only able to get €60 out of a cash machine, that’s remarkable.” He said staff had been paid.He told reporters following a trading update: “We have taken steps to continue to trade there at the moment. The situation might change every day but over the last week stores have been trading at 60% to 70% [of the level of normal sales]. At a time when people are only able to get €60 out of a cash machine, that’s remarkable.” He said staff had been paid.
Bolland said Greece made up about 5% of M&S’s international business and so was “very small” but he added: “We feel it is important to stay in Greece.”Bolland said Greece made up about 5% of M&S’s international business and so was “very small” but he added: “We feel it is important to stay in Greece.”
10.50am BST10:5010.50am BST10:50
Germany's Gabriel: letting Greece into euro was a mistakeGermany's Gabriel: letting Greece into euro was a mistake
German vice chancellor Sigmar Gabriel has admitted it was a mistake to allow Greece into the euro.German vice chancellor Sigmar Gabriel has admitted it was a mistake to allow Greece into the euro.
*GABRIEL SAYS WAS 'NAIVE' TO ACCEPT GREECE INTO EURO: STERN*GABRIEL SAYS WAS 'NAIVE' TO ACCEPT GREECE INTO EURO: STERN
Here’s a translation of the report:Here’s a translation of the report:
SPD leader Sigmar Gabriel has for the first time admitted that it was a mistake to allow Greece to join the euro zone. “The entry of Greece into the euro was done, from today’s perspective, very naively,” Gabriel said in an interview with Stern. “Worse is that all have watched far too long” as the country fell deeper and deeper into crisis, added the Vice-Chancellor.SPD leader Sigmar Gabriel has for the first time admitted that it was a mistake to allow Greece to join the euro zone. “The entry of Greece into the euro was done, from today’s perspective, very naively,” Gabriel said in an interview with Stern. “Worse is that all have watched far too long” as the country fell deeper and deeper into crisis, added the Vice-Chancellor.
Full report here (in German)Full report here (in German)
Updated at 12.43pm BSTUpdated at 12.43pm BST
10.30am BST10:3010.30am BST10:30
The Greek government is to blame for the current crisis and not Germany, according to Italy’s foreign minister Paolo Gentiloni. APF reports:The Greek government is to blame for the current crisis and not Germany, according to Italy’s foreign minister Paolo Gentiloni. APF reports:
Greeks have their own leaders to blame for the crisis in their country, and not “mean Germans”, Gentiloni said Tuesday.Greeks have their own leaders to blame for the crisis in their country, and not “mean Germans”, Gentiloni said Tuesday.
The current crisis “...is not the fault of mean Germans, but is the responsibility of the Greek governments which have followed one another these past 15-20 years,” he told the Italian daily Corriere della Sera.|The current crisis “...is not the fault of mean Germans, but is the responsibility of the Greek governments which have followed one another these past 15-20 years,” he told the Italian daily Corriere della Sera.|
Germany, the eurozone’s de facto paymaster, has been the driving force behind requiring austerity policies to accompany bailout help for Greece.Germany, the eurozone’s de facto paymaster, has been the driving force behind requiring austerity policies to accompany bailout help for Greece.
German Chancellor Angela Merkel said Monday that conditions for a new Greek rescue package “have not yet been met.”German Chancellor Angela Merkel said Monday that conditions for a new Greek rescue package “have not yet been met.”
10.25am BST10:2510.25am BST10:25
Capital Economics reckons a Grexit is likely sooner or later whatever happens today:Capital Economics reckons a Grexit is likely sooner or later whatever happens today:
A #Greek deal covering financing for 6-12m & minor debt relief in exchange for creditors' last demands might kick the can down the road(1/2)A #Greek deal covering financing for 6-12m & minor debt relief in exchange for creditors' last demands might kick the can down the road(1/2)
But as we have always stressed, only a huge write-down can return #Greek debt to sustainable levels. Points to #Grexit sooner or later (2/2)But as we have always stressed, only a huge write-down can return #Greek debt to sustainable levels. Points to #Grexit sooner or later (2/2)
10.04am BST10:0410.04am BST10:04
Asked whether the Greek referendum success would mean other populist governments might use a plebiscite as a political weapon, he said:Asked whether the Greek referendum success would mean other populist governments might use a plebiscite as a political weapon, he said:
“This has been discussed...what would happen if a referendum in another country put in doubt a compromise with Greece.“This has been discussed...what would happen if a referendum in another country put in doubt a compromise with Greece.
“We are in a difficult situation but we hope will will get a compromise acceptable to everyone.”“We are in a difficult situation but we hope will will get a compromise acceptable to everyone.”
10.00am BST10:0010.00am BST10:00
European president Martin Schulz has said he wants Greece to remain in the eurozone.European president Martin Schulz has said he wants Greece to remain in the eurozone.
He told a press conference: “I’m in favour of keeping the eurozone together. Those who want to split up the eurozone are wrong.”He told a press conference: “I’m in favour of keeping the eurozone together. Those who want to split up the eurozone are wrong.”
But he said it all depended on the new proposals from the Greek government: “Confrontation is not a solution... we need to get both sides together.”But he said it all depended on the new proposals from the Greek government: “Confrontation is not a solution... we need to get both sides together.”
Updated at 10.05am BSTUpdated at 10.05am BST
9.52am BST09:529.52am BST09:52
Euro falls ahead of summitEuro falls ahead of summit
With fears growing that Greece will leave the eurozone, as leaders travel to Brussels for last ditch talks, the euro is coming under pressure. It is now fallen to below $1.10, its lowest level for more than a month.With fears growing that Greece will leave the eurozone, as leaders travel to Brussels for last ditch talks, the euro is coming under pressure. It is now fallen to below $1.10, its lowest level for more than a month.
9.26am BST09:269.26am BST09:26
At least three companies in Greece are paying staff in cash after the capital controls imposed last week to limit withdrawals from banks, according to Reuters.At least three companies in Greece are paying staff in cash after the capital controls imposed last week to limit withdrawals from banks, according to Reuters.
The companies include Kotsovolos, the country’s biggest electronics retailer and a subsidiary of Britain’s Dixons Carphone.The companies include Kotsovolos, the country’s biggest electronics retailer and a subsidiary of Britain’s Dixons Carphone.
9.21am BST09:219.21am BST09:21
Here’s an interesting chart from the economics team at RBS:Here’s an interesting chart from the economics team at RBS:
#Greece austerity gauge. Greek government spending has fallen 20% since 2008. In UK and Italy it's up. #GreekCrisis pic.twitter.com/WMQBxxVFqq#Greece austerity gauge. Greek government spending has fallen 20% since 2008. In UK and Italy it's up. #GreekCrisis pic.twitter.com/WMQBxxVFqq
8.59am BST08:598.59am BST08:59
Greece’s stock market will remain closed until Wednesday according to the Greek Capital Markets Commission, in line with the extended bank holiday.Greece’s stock market will remain closed until Wednesday according to the Greek Capital Markets Commission, in line with the extended bank holiday.
8.46am BST08:468.46am BST08:46
Twitter (Varoufakis quits announcement), Facebook (Italian prime minister’s latest view on what must be done), and now texting. The modern way to run a crisis.Twitter (Varoufakis quits announcement), Facebook (Italian prime minister’s latest view on what must be done), and now texting. The modern way to run a crisis.
Now that's a relief: @JunckerEU says he's texting @tsipras_eu . Crisis solved!Now that's a relief: @JunckerEU says he's texting @tsipras_eu . Crisis solved!
8.37am BST08:378.37am BST08:37
Christine Lagarde, managing director of the International Monetary Fund, will reportedly be staying at home rather than attending the day’s meetings in Brussels.Christine Lagarde, managing director of the International Monetary Fund, will reportedly be staying at home rather than attending the day’s meetings in Brussels.
Not a surprise really. Greece is already in arrears with the IMF after failing to make a $1.5bn payment due at the end of last month, so it is unlikely the fund would be taking part in any new bailout until that money is paid.Not a surprise really. Greece is already in arrears with the IMF after failing to make a $1.5bn payment due at the end of last month, so it is unlikely the fund would be taking part in any new bailout until that money is paid.
And the IMF also threw a spanner into the works just ahead of Greece’s referendum by saying that debt relief should be part of any new package, something seized on by Alexis Tsipras and his colleagues.And the IMF also threw a spanner into the works just ahead of Greece’s referendum by saying that debt relief should be part of any new package, something seized on by Alexis Tsipras and his colleagues.
8.29am BST08:298.29am BST08:29
And if 16 out of 18 eurozone countries are in favour of Greece leaving then who are the other two?And if 16 out of 18 eurozone countries are in favour of Greece leaving then who are the other two?
@notayesmansecon France and Cyprus?@notayesmansecon France and Cyprus?
@notayesmansecon @minefornothing I suspect France and Italy?@notayesmansecon @minefornothing I suspect France and Italy?
@notayesmansecon @minefornothing don't think so - France because they've been softer on Greece and Italy cos they could be next@notayesmansecon @minefornothing don't think so - France because they've been softer on Greece and Italy cos they could be next
Updated at 8.33am BSTUpdated at 8.33am BST
8.25am BST08:258.25am BST08:25
European markets edge higherEuropean markets edge higher
Investors remain cautious ahead of the day’s meetings, with markets edging higher in early trading.Investors remain cautious ahead of the day’s meetings, with markets edging higher in early trading.
The FTSE 100 has added 0.1%, France’s Cac is 0.2% better, Germany’s Dax has risen 0.14%, Italy’s FTSE MIB is up 0.6%, and Spain’s Ibex has added 0.2%.The FTSE 100 has added 0.1%, France’s Cac is 0.2% better, Germany’s Dax has risen 0.14%, Italy’s FTSE MIB is up 0.6%, and Spain’s Ibex has added 0.2%.
In the bond market Greek two-year and ten year yields have slipped back slightly, while ten-year yields for other peripherals - Italy, Spain and Portugal - are also a little lower.In the bond market Greek two-year and ten year yields have slipped back slightly, while ten-year yields for other peripherals - Italy, Spain and Portugal - are also a little lower.
8.19am BST08:198.19am BST08:19
And today’s “Ball is in the Greek’s court Award” goes to European Commission president Jean-Claude Juncker.And today’s “Ball is in the Greek’s court Award” goes to European Commission president Jean-Claude Juncker.
Speaking in Strasbourg, he said:Speaking in Strasbourg, he said:
LIVE: @JunckerEU addresses @Europarl_EN: the ball is on #Greece's court; it 'll have to explain how we reach an agreementLIVE: @JunckerEU addresses @Europarl_EN: the ball is on #Greece's court; it 'll have to explain how we reach an agreement
The Greek gov must explain in Bxl today how it sees us extricating ourselves from this situation. #Greece #EurosummitThe Greek gov must explain in Bxl today how it sees us extricating ourselves from this situation. #Greece #Eurosummit
EC Juncker: "I am against #Grexit. Some in EU are openly or covered in favor of Grexit. EC will do anything against it" #GreeceEC Juncker: "I am against #Grexit. Some in EU are openly or covered in favor of Grexit. EC will do anything against it" #Greece
#Juncker: 'Very saddened that Greek gov't left the negotiating table'#Juncker: 'Very saddened that Greek gov't left the negotiating table'
*JUNCKER: EU READY TO DO WHATEVER NECESSARY TO REACH GREEK PACT*JUNCKER: EU READY TO DO WHATEVER NECESSARY TO REACH GREEK PACT
Juncker: 'We will not reach a deal with Greece today' http://t.co/WpKyqEdvq5 via @BIUK_FinanceJuncker: 'We will not reach a deal with Greece today' http://t.co/WpKyqEdvq5 via @BIUK_Finance
But he must be glad to see the back of Yanis Varoufakis, the former Greek finance minister who described the country’s creditors as “terrorists”But he must be glad to see the back of Yanis Varoufakis, the former Greek finance minister who described the country’s creditors as “terrorists”
Juncker: Is is unacceptable for the #greece govt to call us "terrorists"Juncker: Is is unacceptable for the #greece govt to call us "terrorists"
#Juncker: the Commission and its President have tried hard to find deal, if only everyone had tried as hard#Juncker: the Commission and its President have tried hard to find deal, if only everyone had tried as hard
Updated at 9.03am BSTUpdated at 9.03am BST
8.07am BST08:078.07am BST08:07
Interesting snippet in the report on Monday’s events by Greek newspaper Kathimerini:Interesting snippet in the report on Monday’s events by Greek newspaper Kathimerini:
According to sources in Brussels, 16 of the other 18 countries in the eurozone are in favor of letting Greece leave the eurozone and they will have to weigh up the cost of any agreement to keep Athens in the single currency.According to sources in Brussels, 16 of the other 18 countries in the eurozone are in favor of letting Greece leave the eurozone and they will have to weigh up the cost of any agreement to keep Athens in the single currency.
7.58am BST07:587.58am BST07:58
Breaking news:Breaking news:
S&P Believes That Greece Could Default On Debt Payment As Soon As This Week -Situation In Greece Is Leading To Return Of Econ. DepressionS&P Believes That Greece Could Default On Debt Payment As Soon As This Week -Situation In Greece Is Leading To Return Of Econ. Depression
7.57am BST07:577.57am BST07:57
Timetable for key meetingsTimetable for key meetings
Here are the expected timings for two Brussels meetings later.Here are the expected timings for two Brussels meetings later.
First the Eurogroup of finance ministers:First the Eurogroup of finance ministers:
12:00 (Brussels time, 11.00 BST) Arrivals12:00 (Brussels time, 11.00 BST) Arrivals
13:00 (12.00 BST) Roundtable chaired by Eurogroup President Jeroen Dijsselbloem13:00 (12.00 BST) Roundtable chaired by Eurogroup President Jeroen Dijsselbloem
The agenda is as follows:The agenda is as follows:
The Eurogroup will discuss the situation following the referendum in Greece that was held on 5 July 2015. Ministers expect new proposals from the Greek authorities.The Eurogroup will discuss the situation following the referendum in Greece that was held on 5 July 2015. Ministers expect new proposals from the Greek authorities.
And here’s the details of the leaders’ summit:And here’s the details of the leaders’ summit:
From 17.00 (16.00 BST)From 17.00 (16.00 BST)
Arrival of the heads of state or government of the Euro areaArrival of the heads of state or government of the Euro area
18.00 (17.00 BST)18.00 (17.00 BST)
Working dinnerWorking dinner
at the end of the meetingat the end of the meeting
Press conference by the President of the European Council and the President of the European CommissionPress conference by the President of the European Council and the President of the European Commission
Updated at 11.33am BSTUpdated at 11.33am BST
7.47am BST07:477.47am BST07:47
And European markets are forecast to open higher ahead of the day’s key meetings:And European markets are forecast to open higher ahead of the day’s key meetings:
Our European opening calls: $FTSE 6557 up 21 $DAX 10931 up 40 $CAC 4726 up 15 $IBEX 10590 up 50 $MIB 21707 up 106Our European opening calls: $FTSE 6557 up 21 $DAX 10931 up 40 $CAC 4726 up 15 $IBEX 10590 up 50 $MIB 21707 up 106
7.46am BST07:467.46am BST07:46
Markets came under pressure on Monday following the No victory in the Greek referendum, but things were nothing like as bad as some had feared. Economist Ian Williams at Peel Hunt said:Markets came under pressure on Monday following the No victory in the Greek referendum, but things were nothing like as bad as some had feared. Economist Ian Williams at Peel Hunt said:
Given the apocalyptic predictions of the consequences of a Greek ‘no’ vote made before the weekend, losses of around 2% for the Eurozone indices should have been greeted with a sigh of relief. Similarly, the moves in Eurozone bond markets were modest, in the context of recently heightened levels of volatility. That sanguine response may not be so much based on optimism that a compromise deal can still be reached (given the removal of Mr Varoufakis) as reflecting a judgement that, even if Grexit is now more likely than before, the broader economic consequences for the region can be contained.Given the apocalyptic predictions of the consequences of a Greek ‘no’ vote made before the weekend, losses of around 2% for the Eurozone indices should have been greeted with a sigh of relief. Similarly, the moves in Eurozone bond markets were modest, in the context of recently heightened levels of volatility. That sanguine response may not be so much based on optimism that a compromise deal can still be reached (given the removal of Mr Varoufakis) as reflecting a judgement that, even if Grexit is now more likely than before, the broader economic consequences for the region can be contained.
The Eurozone’s peripheral markets were understandably less sanguine than the core, with Italy’s MIB index losing 4% and the IBEX in Spain 2.2%.The Eurozone’s peripheral markets were understandably less sanguine than the core, with Italy’s MIB index losing 4% and the IBEX in Spain 2.2%.
Asian markets were mixed, with the Nikkei up 1.3% but the Hang Seng down 0.6%.Asian markets were mixed, with the Nikkei up 1.3% but the Hang Seng down 0.6%.
And China continued its recent slump:And China continued its recent slump:
Related: China stocks tumble again after premier Li Keqiang fails to mention crisisRelated: China stocks tumble again after premier Li Keqiang fails to mention crisis
Updated at 7.57am BSTUpdated at 7.57am BST
7.38am BST07:387.38am BST07:38
Introduction: Leaders await new Greece proposalsIntroduction: Leaders await new Greece proposals
Good morning and welcome to our coverage of the continuing eurozone crisis and the latest attempts to broker a deal between Greece and its creditors.Good morning and welcome to our coverage of the continuing eurozone crisis and the latest attempts to broker a deal between Greece and its creditors.
With time running out - to quote German Chancellor Angela Merkel - Greek prime minister Alexis Tsipras is set to present new proposals following his resounding victory in Sunday’s referendum.With time running out - to quote German Chancellor Angela Merkel - Greek prime minister Alexis Tsipras is set to present new proposals following his resounding victory in Sunday’s referendum.
Finance ministers will meet later to consider what Greece has put on the table, with European leaders discussing the situation in an emergency summit this evening. Here’s Ian Traynor’s story looking at the prospects for a deal:Finance ministers will meet later to consider what Greece has put on the table, with European leaders discussing the situation in an emergency summit this evening. Here’s Ian Traynor’s story looking at the prospects for a deal:
Germany and France scrambled to avoid a major split over Greece on Monday evening as the eurozone delivered a damning verdict on Alexis Tsipras’s landslide referendum victory on Sunday and Angela Merkel demanded that the Greek prime minister put down new proposals to break the deadlock.Germany and France scrambled to avoid a major split over Greece on Monday evening as the eurozone delivered a damning verdict on Alexis Tsipras’s landslide referendum victory on Sunday and Angela Merkel demanded that the Greek prime minister put down new proposals to break the deadlock.
As concerns mount that Greek banks will run out of cash and about the damage being inflicted on the country’s economy, hopes for a breakthrough faded. EU leaders voiced despair and descended into recrimination over how to respond to Sunday’s overwhelming rejection of eurozone austerity terms as the price for keeping Greece in the currency.As concerns mount that Greek banks will run out of cash and about the damage being inflicted on the country’s economy, hopes for a breakthrough faded. EU leaders voiced despair and descended into recrimination over how to respond to Sunday’s overwhelming rejection of eurozone austerity terms as the price for keeping Greece in the currency.
Tsipras, meanwhile, moved to insure himself against purported eurozone plots to topple him and force regime change by engineering a national consensus of the country’s five mainstream parties behind his negotiating strategy, focused on securing debt relief.Tsipras, meanwhile, moved to insure himself against purported eurozone plots to topple him and force regime change by engineering a national consensus of the country’s five mainstream parties behind his negotiating strategy, focused on securing debt relief.
Full story here:Full story here:
Related: Eurozone struggles to find joint response to Greek referendumRelated: Eurozone struggles to find joint response to Greek referendum
One key participant will be new Greek finance minister Euclid Tsakalotos, appointed after the resignation of his colourful predecessor Yanis Varoufakis on Monday. Here is our profile of Tskalotos.One key participant will be new Greek finance minister Euclid Tsakalotos, appointed after the resignation of his colourful predecessor Yanis Varoufakis on Monday. Here is our profile of Tskalotos.
Meanwhile Greek banks will not reopen today after capital controls were extended until at least tomorrow. The European Central Bank put more pressure on the Greek system by tightening the rules for giving emergency funding. Michael Hewson at CMC Markets said:Meanwhile Greek banks will not reopen today after capital controls were extended until at least tomorrow. The European Central Bank put more pressure on the Greek system by tightening the rules for giving emergency funding. Michael Hewson at CMC Markets said:
[The ECB move} is likely to increase criticism that the central bank is getting involved in exerting political pressure and acting beyond its mandate of price stability, and as lender of last resort, which any credible central bank should do as a matter of course.[The ECB move} is likely to increase criticism that the central bank is getting involved in exerting political pressure and acting beyond its mandate of price stability, and as lender of last resort, which any credible central bank should do as a matter of course.
All the ECB has done is make it more likely that Greek banks will run out of money in a matter of days. Furthermore it remains highly unlikely that the Greek government will be able to make it to the next key payment deadline of 20th July when a €3.5bn bond to the ECB becomes repayable.All the ECB has done is make it more likely that Greek banks will run out of money in a matter of days. Furthermore it remains highly unlikely that the Greek government will be able to make it to the next key payment deadline of 20th July when a €3.5bn bond to the ECB becomes repayable.
While the departure of the polarising Greek finance minister Yanis Varoufakis is likely to mean that relations between the creditors and the Greek government are likely to improve, in reality the move changes nothing, particularly since attitudes in some parts of Europe appear to have hardened.While the departure of the polarising Greek finance minister Yanis Varoufakis is likely to mean that relations between the creditors and the Greek government are likely to improve, in reality the move changes nothing, particularly since attitudes in some parts of Europe appear to have hardened.
The players may have changed but the problems remain the same and while European finance ministers have agreed to meet today to consider some new Greek proposals, the likelihood is that they are unlikely to be any more acceptable now than they would have been last week, particularly given that debt relief is likely to be one of the key demands from the Greece side.The players may have changed but the problems remain the same and while European finance ministers have agreed to meet today to consider some new Greek proposals, the likelihood is that they are unlikely to be any more acceptable now than they would have been last week, particularly given that debt relief is likely to be one of the key demands from the Greece side.
This would suggest that any new agreement remains unlikely which means that Greece may well be forced to issue its own currency in a matter of days.This would suggest that any new agreement remains unlikely which means that Greece may well be forced to issue its own currency in a matter of days.
Updated at 7.52am BSTUpdated at 7.52am BST