Greece Seeks New EU Loan Deal

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”.

Athens has to follow the request up with a detailed plan by the end of Thursday of how the government plans to reform its economy if it is to receive fresh bailout cash to stave off bankruptcy and a possible exit from the euro.

“The money that was given to Greece never went to the people”, Tsipras said, drawing a mix of booing and applause.

Even French President Francois Hollande who has defended Tsipras in the past week, said that he was preparing for the worst scenario.

The German government has yet to give a verdict, with a spokesman for Chancellor Angela Merkel saying Berlin will wait for Greece’s creditors to have their say.

Greek Prime Minister Alexis Tsipras called in a speech to the European Parliament for a fair deal, acknowledging Greece’s historic responsibility for its plight, after EU leaders gave him five days to come up with convincing reforms. Heads of state in the eurogroup meet in Brussels on Tuesday for a special summit to discuss the financial crisis with Greece.

Obama rang and spoke with Greek Prime Minister Alexis Tsipras yesterday to enforce his desire for a resolution.

Even potentially sympathetic southern Europeans have become skeptical toward the 40-year-old leftist radical.

A German member of the European Central Bank’s governing council says Greek banks should not get more emergency credit from the central bank unless a bailout deal is struck.

But the inexperienced leader apparently failed to grasp the complexities of the European Union. The country would lose access to emergency funding from the European Central Bank (ECB), depriving it of vital finances to run the government and pay pensioners. He tried, for example, to convince them to stop focusing on spending cuts and loosen the terms of Greece’s existing loans. That would make imports and trips to Europe cheaper for Americans.

However, some MEPs displayed placards saying “No”, praising the result of the Greek referendum.

“Consistent with the principles of this medium- to long-term programme, the republic is committed to a comprehensive set of reforms and measures to be implemented in the areas of fiscal sustainability, financial stability and long-term economic growth”, added the Greek minister.

“But for the third weekend in a row the euro may see a gap open regardless of whether a deal is done or not as speculators will move the currency either way”, Schlossberg said. “Only then will we have a win-win situation”, Tusk said.

“I have no hidden agenda to take Greece out of the eurozone“.

European officials were cautious about the prospects for progress.

No new reform plans… 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”. Lithuanian President Dalia Grybauskaite complained, “With the Greek government it is every time manana”.

Tsipras vowed to continue reforms already undertaken.

Peter Ramsauer, deputy leader of Merkel’s Bavarian CSU conservative allies, said Greece should leave and accused the Greek government of leading its partners by the nose “like dancing bears round the ring”.

BRUSSELS/ATHENS, July 8 (Xinhua) – The past few days have been packed with events in the eurozone after Greek voters rejected a bailout deal proposed by worldwide lenders in Sunday’s referendum, which increased the debt-ridden country’s risk of exit from the eurozone.

Europe of Freedom and Direct Democracy chair Nigel Farage believed that there were “irreconcilable cultural differences between Greece and Germany” and that “the European project is beginning to die”.

“Markets “are going to be choppy until Friday”, when Greece needs to turn in its new reform proposal”, he said.

Ultimately, the problems that lie at the heart of Greece’s mess – rampant tax avoidance, political graft, nepotism and corruption – rest at the feet of the Greeks and their past governments.

He was due to appear before the European Parliament in Strasbourg on Wednesday. On top of that, a 2012 private-sector debt restructuring meant that banks in French and Germany were no longer significantly exposed to a Greek default.

“The original sin is the currency union, and today we are reaping its sour fruits”, he told colleagues before asking, “who and what are we trying to save?”

“You can not keep on squeezing countries that are in the midst of depression”, Obama told CNN’s Fareed Zakaria.

Be Civil – It’s OK to have a difference in opinion but there’s no need to be a jerk. We still do not know.