The initial responses from European officials to the latest Greek proposal ranged from cautious to dismissive.
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“Before a referendum, there is indeed no basis (for an agreement)”, Schaeuble said.
“Maybe we’ll change the configuration of the government because some of us will not be able to stomach it”, said Varoufakis, adding he would help ensure a smooth transition. “It’s up to the Greeks to respond”. That’s to stop people from withdrawing all their cash, which the banks couldn’t possibly honor. Greeks are now limited to daily ATM withdrawals of 60 euros ($67) and can not send money overseas without special permission.
“I think we belong to the community of Europe”. In a survey by the ProRata institute this week, 86 percent of respondents said they planned to vote.
This weekend Greek voters will go to the polls and decide whether to accept the terms of the creditor’s proposals.
But that particular proposal is no longer on the table.
However, even if the country votes ‘yes, ‘ analysts say it might be too late – as the terms of the bailout offer expired with Tuesday’s deadline.
The country is now seeking a different deal with its European creditors.
Any talks on a new programme would have to start from scratch with different conditions, he told a news conference in Berlin.
The self-declared “erratic marxist”, said he was confident the Greek people would vote No, whilst also denying that a No vote would lead to a Greek exit from the euro.
Rather, Tsipras insisted, it would give the government a stronger negotiating position with creditors.
Some pensioners were told their pensions had not yet been deposited. It would last two years and amount to €29.1bn. Tsipras has implied he could do the same.
“The Hellenic Republic is prepared to accept this… agreement subject to the following amendments, additions or clarifications”, the letter said, referring to the reforms-for-cash contract binding Greece with its creditors.
However the country is divided with some seeing a no outcome to the referendum as a vote to leave the euro zone – something Tsipras categorically denies. And with no extension of a huge five-year eurozone bailout, Greece warned that it could not meet its International Monetary Fund repayment obligations. “An accord is for right now, it will not be put off”, he said. If the country votes “no” – rejects the proposed budget cuts and other measures – it will appear inevitable that Greece will default on its debt, a major step toward the country abandoning the euro as its currency.
Draghi, he said, had faced down “hawks” among eurozone members who had demanded that Athens increase the collateral needed to receive continued assistance.
Greek officials hinted that any deal with the creditors could cause the referendum to be canceled.
Thorbjorn Jagland, the head of the Council of Europe, told The Associated Press on Wednesday that the referendum falls short of worldwide standards.
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Greece’s Finance Minister Yanis Varoufakis, center, leaves his office in Athens, Wednesday, July 1, 2015. Moody’s slashed the country’s rating from Caa2 to Caa3, or just above default.
