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Greece debt crisis: Tsipras appeals for European unity Greece debt crisis: Tsipras promises 'credible reforms'
(35 minutes later)
Greek Prime Minister Alexis Tsipras has called for the European Union to avoid division, as indebted Greece struggles to stay in the euro. Greek Prime Minister Alexis Tsipras has promised his government will submit "credible reform" proposals to its creditors on Thursday.
In a sometimes stormy debate in the European Parliament, he said: "Let's not let Europe be divided". Mr Tsipras was speaking during a fractious debate on the Greek debt crisis in the European Parliament.
Greece must present new proposals by the end of Thursday to reach a deal with creditors, before a full European Union summit on Sunday. Greece is desperate for a third bailout to avoid bankruptcy and possibly crashing out of the euro currency.
Mr Tsipras said proposals were being worked on but failed to give details. European leaders have set Thursday as the deadline for serious reform plans in exchange for more aid.
The Greek prime minister said he was "confident" that his government could meet "its obligations in the interests of Greece and the eurozone" over the next few days. An emergency summit involving all 28 European Union members - not just the 19 eurozone countries - will take place on Sunday.
He was greeted by both boos and cheers as he entered the chamber, where he criticised previous bailouts for turning Greece into an "austerity laboratory". Greece would "file new concrete proposals, credible reforms, for a fair and viable solution," Mr Tsipras told MEPs.
"However, this experiment, I think all of us have to accept, has not been a success," he told the parliament in Strasbourg. Earlier, he urged Europe not to succumb to "division".
Mixed reception
The left-wing leader was greeted by both boos and cheers as he entered the European Parliament, where he criticised previous bailouts for turning Greece into an "austerity laboratory".
Mr Tsipras was speaking only days after the Greek people decisively rejected the latest proposals from creditors in a referendum.Mr Tsipras was speaking only days after the Greek people decisively rejected the latest proposals from creditors in a referendum.
The Greek people "stood up and were counted - we have to listen to what they said."The Greek people "stood up and were counted - we have to listen to what they said."
But in a sign of divisions in the European Parliament over the Greek debt crisis, some MEPs displayed placards saying "No", praising the result of the Greek referendum. Greece's failure to come up with new proposals at a eurozone summit on Tuesday angered several European leaders, and some of that frustration was reflected in the European Parliament debate.
In contrast, German MEP Manfred Weber criticised the failure of Greece to submit detailed proposals and accused Mr Tsipras of insulting other European leaders. German MEP Manfred Weber accused Mr Tsipras of insulting other European leaders.
"The extremists of Europe are applauding you," he said, referring to support from both left and right in parliament."The extremists of Europe are applauding you," he said, referring to support from both left and right in parliament.
However, some MEPs displayed placards saying "No", praising the result of the Greek referendum.
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What are the scenarios for Greece? Greek scenarios
Greece's creditors - the European Commission, the European Central Bank (ECB) and the International Monetary Fund - had expected Greece to submit fresh plans for reform on Tuesday but none were tabled. Greece's creditors - the European Commission, the European Central Bank (ECB) and the International Monetary Fund - have already provided more than €200bn in two bailouts since a rescue plan began five years ago.
Now its European partners are demanding firm proposals for reform by Thursday evening.
Greece has meanwhile formally asked the European bailout facility - the European Stability Mechanism - for help.Greece has meanwhile formally asked the European bailout facility - the European Stability Mechanism - for help.
Sources say Athens is requesting a three-year loan in exchange for reforms. Sources say Athens is requesting a fresh three-year loan in exchange for reforms.
In addition, the ECB's governing council is discussing its emergency lending for Greek banks, though no change is thought likely before the weekend. Since last week, the ECB has refused to extend lending.In addition, the ECB's governing council is discussing its emergency lending for Greek banks, though no change is thought likely before the weekend. Since last week, the ECB has refused to extend lending.
In Brussels, Greece has been given an ultimatum: either there will be a deal, or Greece and its banks face the prospect of going bust on Monday, the BBC's Chris Morris reports.
At the scene: Hugh Schofield, BBC News, StrasbourgAt the scene: Hugh Schofield, BBC News, Strasbourg
There was a softness in the tone of Alexi Tsipras which shows he knows how to appeal to an audience. For the first time he stated explicitly that the problems facing Greece are not just the fault of the evil creditors.There was a softness in the tone of Alexi Tsipras which shows he knows how to appeal to an audience. For the first time he stated explicitly that the problems facing Greece are not just the fault of the evil creditors.
He said that for decades corruption and a "politico-economic nexus" had been given a free hand - and that his government was committed to ending that. He also reached out to other peoples "suffering under austerity" - a sign that he can see how it might hurt elsewhere in Europe for Greece to get special treatment.He said that for decades corruption and a "politico-economic nexus" had been given a free hand - and that his government was committed to ending that. He also reached out to other peoples "suffering under austerity" - a sign that he can see how it might hurt elsewhere in Europe for Greece to get special treatment.
But on specifics, there was nothing. Certainly none of the detail which is supposed to be put down on paper between now and Friday. Instead, backed by his referendum victory on Sunday, Mr Tsipras stood his ground. Any deal had to offer the prospects of growth, and it had to include discussion of Greek debt.But on specifics, there was nothing. Certainly none of the detail which is supposed to be put down on paper between now and Friday. Instead, backed by his referendum victory on Sunday, Mr Tsipras stood his ground. Any deal had to offer the prospects of growth, and it had to include discussion of Greek debt.
Does he actually have anything more to offer the eurozone? We still do not know.Does he actually have anything more to offer the eurozone? We still do not know.
EU Economy Commissioner Pierre Moscovici told the BBC's Today programme that Europe wanted to stop Greece falling out of the euro.EU Economy Commissioner Pierre Moscovici told the BBC's Today programme that Europe wanted to stop Greece falling out of the euro.
"The Commission does not want a Grexit. Grexit would be a terrible failure and we are fighting to avoid it.""The Commission does not want a Grexit. Grexit would be a terrible failure and we are fighting to avoid it."
But, first, he said proposals must come from the Greek side.But, first, he said proposals must come from the Greek side.
"They know what they have to do, they know what we expect"."They know what they have to do, they know what we expect".
Crisis countdownCrisis countdown
Greece's banks have been shut since its last international bailout programme expired on June 30th and it missed an IMF payment.Greece's banks have been shut since its last international bailout programme expired on June 30th and it missed an IMF payment.
Capital controls mean people are unable to withdraw more than €60 (£43; $66) a day from cash machines.Capital controls mean people are unable to withdraw more than €60 (£43; $66) a day from cash machines.
What happens next?What happens next?