Demonstrators gather during a rally organized by supporters of the YES vote for the upcoming referendum in front of the Greek Parliament in Athens, Tuesday, June 30, 2015. (Photo: AP)
(VOVworld) – Eurozone finance ministers denied the last-minute proposal of Greek Prime Minister Alexis Tsipras to extend Greece’s bailout package during an urgent phone call Tuesday midnight.
This means the last resort for Greece has failed with the Greek financial system on the verge of collapse.
Earlier in the day, Tsipras proposed a third bailout package worth more than 29 billion euros to meet Greece’s financial needs over the next 2 years. Some EU officials immediately rejected the proposal and others said Tsipras’ move was only aimed at improving his position prior to the referendum scheduled to take place on July 5th on whether to accept creditors’ austerity demands in exchange for a new bailout package.
The same day, the International Monetary Fund (IMF) confirmed that Greece did not repay its 1.5 billion euro loan essentially a default.
IMF Spokesperson Gerry Rice said Greece is likely to leave the Eurozone now, with unpredictable consequences for the EU and the world economy.