Leading figures in Greece's debt crisis have appealed to Greece to vote 'yes' in this weekend's referendum on whether to accept a bailout deal, with European Commission chief Jean-Claude Juncker, urging Greeks not to vote for "suicide".
The surprise referendum was announced early on Saturday by the Greek prime minister Alexis Tsipras and will see Greeks vote on whether to accept or reject a bailout deal by creditors in order to unlock billions of euros in funds on 5 July.
Tsipras has made it clear he is against the "unbearable" bailout plan, but European Union figures have warned that a 'no' result could lead to the country leaving the euro.
German chancellor Angela Merkel has warned Greece that it can not expect further concessions from the eurozone on pension cuts, VAT increases and debt relief, describing last week's proposal as "generous".
However, Juncker went even further, saying at the EU commission headquarters in Brussels this morning that he was "deeply distressed and saddened" by the breakdown of talks over the weekend. He accused the Greek government of having lied about the debt negotiations and issued a strongly-worded plea for Greece to vote to stay in the euro.
"I say to the Greek people - who I like deeply - one shouldn't commit suicide for fear of dying," he said. "I will never let the Greek people down, never."
The Greek government immediately cast doubt on the "sincerity" of Juncker's comments, with some newspapers quick to point out that the comments could easily cause some annoyance in a country that has seen a 35% increase in suicides since the onset of the financial crisis.
"An essential element in indicating good faith and reliability in negotiations is sincerity," said Gabriel Sakellaridis, a Greek government spokesman.
Meanwhile Greeks were today coming to terms with the results of the failed talks over the weekend. The country's banks will remain closed this week and cash withdrawals have been limited to €60 a day.
A rush to buy food supplies has resulted in Greeks queuing outside supermarkets and petrol stations, according to eyewitnesses, a problem that could worsen depending on the results of the weekend's referendum. Anti-austerity protests have also formed outside the Greek parliament.
It has now been announced that Greece will default on the €1.6bn of International Monetary Fund loans due to be paid back tomorrow.
French President Francois Hollande has appealed to Tsipras to return to the negotiating table and Merkel has offered to carry on talks with the Greek prime minister, Reuters reports.
Uncommon Knowledge
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
About the writer
Felicity is a reporter for Newsweek Europe based in London. Twitter: @FelicityCapon
To read how Newsweek uses AI as a newsroom tool, Click here.
