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| Greece Submits New Loan Request, as Tsipras Takes Defiant Stance | Greece Submits New Loan Request, as Tsipras Takes Defiant Stance |
| (35 minutes later) | |
| ATHENS — Greece, running out of money and under a tight deadline from European leaders, on Wednesday requested a three-year loan from the eurozone’s bailout fund. | ATHENS — Greece, running out of money and under a tight deadline from European leaders, on Wednesday requested a three-year loan from the eurozone’s bailout fund. |
| But other than alluding to plans to begin overhauling its tax and pension systems next week, Greece did not detail what economic changes it would make in exchange for the loan, saying that it would provide those specifics on Thursday. | But other than alluding to plans to begin overhauling its tax and pension systems next week, Greece did not detail what economic changes it would make in exchange for the loan, saying that it would provide those specifics on Thursday. |
| Nor did it publicly describe the size of the loan it was seeking. Some economists, though, have estimated that Greece might need 50 billion euros, or about $55 billion, possibly more. | Nor did it publicly describe the size of the loan it was seeking. Some economists, though, have estimated that Greece might need 50 billion euros, or about $55 billion, possibly more. |
| The loan request came after eurozone leaders rebuked the Greek prime minister, Alexis Tsipras, late Tuesday for not having provided a new and specific proposal for securing additional bailout money. | The loan request came after eurozone leaders rebuked the Greek prime minister, Alexis Tsipras, late Tuesday for not having provided a new and specific proposal for securing additional bailout money. |
| Until Athens submits that proposal on Thursday — the final deadline the eurozone creditors have set — it remains to be seen whether Greece can finally come close enough to meeting those creditors’ demands for economic reforms to secure a new bailout deal. Negotiations have gone on for five months. | Until Athens submits that proposal on Thursday — the final deadline the eurozone creditors have set — it remains to be seen whether Greece can finally come close enough to meeting those creditors’ demands for economic reforms to secure a new bailout deal. Negotiations have gone on for five months. |
| Without a deal, which European leaders said they would decide upon by Sunday night, Greece seems destined to stumble out of the euro currency union and face an uncertain future as a bankrupt stand-alone economy. | Without a deal, which European leaders said they would decide upon by Sunday night, Greece seems destined to stumble out of the euro currency union and face an uncertain future as a bankrupt stand-alone economy. |
| Mr. Tsipras took his case to the European Parliament on Wednesday. In a defiant speech, he said that his government was determined to reach a “viable agreement” with the country’s creditors. | Mr. Tsipras took his case to the European Parliament on Wednesday. In a defiant speech, he said that his government was determined to reach a “viable agreement” with the country’s creditors. |
| But he also insisted that any deal should include debt relief, and he emphasized that the Greek crisis was essentially a European problem. | But he also insisted that any deal should include debt relief, and he emphasized that the Greek crisis was essentially a European problem. |
| “We want an agreement that will give a final end to the crisis and show there is light at the end of the tunnel,” Mr. Tsipras told the packed chamber in Strasbourg, France. But he said that a deal could not come at any price, noting that Greece had been “transformed into a laboratory for testing austerity over the past years.” | “We want an agreement that will give a final end to the crisis and show there is light at the end of the tunnel,” Mr. Tsipras told the packed chamber in Strasbourg, France. But he said that a deal could not come at any price, noting that Greece had been “transformed into a laboratory for testing austerity over the past years.” |
| The new Greek finance minister, Euclid Tsakalotos, submitted the loan request to the eurozone bailout fund, the European Stability Mechanism. In a letter accompanying the request, Mr. Tsakalotos mentioned one of Greece’s other main goals in securing a new bailout loan — relief from some of its staggering public debt, which is more than €300 billion. | The new Greek finance minister, Euclid Tsakalotos, submitted the loan request to the eurozone bailout fund, the European Stability Mechanism. In a letter accompanying the request, Mr. Tsakalotos mentioned one of Greece’s other main goals in securing a new bailout loan — relief from some of its staggering public debt, which is more than €300 billion. |
| “Greece welcomes an opportunity to explore potential measures to be taken so that its official sector related debt becomes both sustainable and viable over the long term,” the letter said. | “Greece welcomes an opportunity to explore potential measures to be taken so that its official sector related debt becomes both sustainable and viable over the long term,” the letter said. |
| But at least one crucial decision maker, Chancellor Angela Merkel of Germany, has already indicated that she would oppose lending additional money to Greece through the European Stability Mechanism or granting it any debt relief until the Tsipras government presents an economic overhaul plan acceptable to the country’s international creditors. | But at least one crucial decision maker, Chancellor Angela Merkel of Germany, has already indicated that she would oppose lending additional money to Greece through the European Stability Mechanism or granting it any debt relief until the Tsipras government presents an economic overhaul plan acceptable to the country’s international creditors. |
| In a late-night news conference after the eurozone leaders set a Sunday deadline for Greece to come to terms with its lenders, Ms. Merkel said “the conditions for starting negotiations on a program in the framework of the E.S.M. continue not to exist,” referring to the European Stability Mechanism. | In a late-night news conference after the eurozone leaders set a Sunday deadline for Greece to come to terms with its lenders, Ms. Merkel said “the conditions for starting negotiations on a program in the framework of the E.S.M. continue not to exist,” referring to the European Stability Mechanism. |
| The European Central Bank, which is one of Greece’s big creditors and has played a crucial role in keeping Greek banks propped up as the debt negotiations have dragged on, planned to hold a conference call late Wednesday afternoon with its Governing Council. But it was not expected to take any action on Greece as long as political leaders are still talking, according to people close to the central bank. | The European Central Bank, which is one of Greece’s big creditors and has played a crucial role in keeping Greek banks propped up as the debt negotiations have dragged on, planned to hold a conference call late Wednesday afternoon with its Governing Council. But it was not expected to take any action on Greece as long as political leaders are still talking, according to people close to the central bank. |
| Greek banks have been dependent for months on emergency loans from the European Central Bank. On Monday, the Governing Council decided to maintain a ceiling on the emergency cash at about 89 billion euros, or about $98 billion. The 25-member council, made up of the heads of eurozone central banks and the executive board of the European Central Bank, is expected to continue the status quo on Wednesday, neither increasing nor decreasing the amount of money Greek banks can borrow. | Greek banks have been dependent for months on emergency loans from the European Central Bank. On Monday, the Governing Council decided to maintain a ceiling on the emergency cash at about 89 billion euros, or about $98 billion. The 25-member council, made up of the heads of eurozone central banks and the executive board of the European Central Bank, is expected to continue the status quo on Wednesday, neither increasing nor decreasing the amount of money Greek banks can borrow. |
| Greek banks can probably avoid bankruptcy as long as the European Central Bank does not reduce the amount they can borrow through an emergency line of credit. But they would need additional cash if they are to reopen on Monday, as now planned. The government closed the banks last week because they were in danger of running out of cash. | |
| As for the government’s new loan request from the eurozone bailout fund, Michel Reijns, a spokesman for the president of the Eurogroup of eurozone finance ministers, said via Twitter on Wednesday that a Eurogroup working group would begin assessing the loan request. | As for the government’s new loan request from the eurozone bailout fund, Michel Reijns, a spokesman for the president of the Eurogroup of eurozone finance ministers, said via Twitter on Wednesday that a Eurogroup working group would begin assessing the loan request. |
| Mr. Tsipras, in his speech to the European Parliament, complained that the bailout loans Greece had received since 2010, which have totaled about €240 billion, had benefited only his country’s creditors. | Mr. Tsipras, in his speech to the European Parliament, complained that the bailout loans Greece had received since 2010, which have totaled about €240 billion, had benefited only his country’s creditors. |
| “The money that was given to Greece never went to the people,” Mr. Tsipras said, drawing a mix of booing and applause. “The money was given to save Greek and European banks.” | “The money that was given to Greece never went to the people,” Mr. Tsipras said, drawing a mix of booing and applause. “The money was given to save Greek and European banks.” |
| The Greek leader declared that he was not seeking a “rupture” with Europe but rather a “socially just and economically viable agreement without the mistakes of the past, that caused a recessionary spiral.” | The Greek leader declared that he was not seeking a “rupture” with Europe but rather a “socially just and economically viable agreement without the mistakes of the past, that caused a recessionary spiral.” |
| Any deal should reflect the “strong mandate” of the Greek people, he added, a reference to the resounding rejection of austerity measures proposed by creditors in a referendum last Sunday. | Any deal should reflect the “strong mandate” of the Greek people, he added, a reference to the resounding rejection of austerity measures proposed by creditors in a referendum last Sunday. |
| Greece has pressed for “credible” measures in return for adequate funding and a commitment from lenders to start talks on debt relief. “There must be no taboos,” he said. | Greece has pressed for “credible” measures in return for adequate funding and a commitment from lenders to start talks on debt relief. “There must be no taboos,” he said. |
| The Greek leader’s speech prompted a mixed response from European lawmakers. | The Greek leader’s speech prompted a mixed response from European lawmakers. |
| Speaking immediately after Mr. Tsipras, the president of the conservative European People’s Party, Manfred Weber, made a scathing verbal attack, accusing the Greek leader of deceiving his people and of actively seeking a rift with Europe, despite his claims to the contrary. And he alluded to the taxpayers elsewhere in the eurozone who would ultimately be financing any loans to Greece. | Speaking immediately after Mr. Tsipras, the president of the conservative European People’s Party, Manfred Weber, made a scathing verbal attack, accusing the Greek leader of deceiving his people and of actively seeking a rift with Europe, despite his claims to the contrary. And he alluded to the taxpayers elsewhere in the eurozone who would ultimately be financing any loans to Greece. |
| “Do not lie,” he said, declaring that the debt reduction sought by Greece would not hurt bankers but instead “nurses in Slovakia and civil servants in Finland.” | “Do not lie,” he said, declaring that the debt reduction sought by Greece would not hurt bankers but instead “nurses in Slovakia and civil servants in Finland.” |
| Guy Verhofstadt, the former Belgian prime minister who now leads the Liberal group in the European Parliament, asked Mr. Tsipras: “How do you want to be remembered? As an electoral accident who made people poorer or as a revolutionary reformer?” | Guy Verhofstadt, the former Belgian prime minister who now leads the Liberal group in the European Parliament, asked Mr. Tsipras: “How do you want to be remembered? As an electoral accident who made people poorer or as a revolutionary reformer?” |
| But some others in the European Parliament were more sympathetic, including Gianni Pittella, an Italian lawmaker. “For us Social Democrats,” he said, “Europe without Greece is simply unthinkable.” | But some others in the European Parliament were more sympathetic, including Gianni Pittella, an Italian lawmaker. “For us Social Democrats,” he said, “Europe without Greece is simply unthinkable.” |