Eurozone ministers rule out talks with Greece until after Sunday’s vote

“I think there is a democratic process that is underway, and that should result in hopefully more clarity, less uncertainty as to what is the determination of the Greek people, and what is the authority of the government”, she said about the referendum.

Despite all the theatrics, Greece is one the same path as it has been for weeks – headed toward a default on its debt that can only be avoided by a bailout from Europe’s financial institutions.

Pensioners fought for their weekly allowance as banks opened to serve them, but many were turned away as an alphabetical system was put in place.

After it became apparent that his 11th-hour effort to broker a compromise with his insolvent country’s creditors would utterly fail, Mr. Tsipras used a national TV address to lambaste them and to urge Greeks to use a No vote in Sunday’s referendum to reject their last proposal.

The new proposal was an attempt to find a mutually beneficial agreement that not only gave emphasis to growth but making the country’s monumental debt load viable, the government insisted.

The Eurogroup, the euro zone finance ministers who met in Brussels on Wednesday to discuss Greece’s offer, were quick to shut down any dialogue too.

“It is the case that during the crisis, sometimes, there had to be creativity, new processes”, she said, “but I think we’ve always tried to respect the rules and to be as even-handed as we could”.

Greek banks have been closed since Monday as the government imposed strict capital controls to prevent a bank run in the wake of its decision to call a referendum on creditor demands.

Speaking in the Bundestag on Wednesday, Merkel said: “We’ll wait for the referendum – no new programme can be negotiated beforehand”.

But, then, if creditors accept these concessions-a big if-will the Greek government change tack and campaign for a “yes” vote in the referendum?

‘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.

Germany, the largest single contributor to Greece’s bailout, said the proposal was not good enough.

However, speaking on Greek national television Wednesday, Tsipras says he fully intends to go forward with the referendum. But they were later updated and are now no longer on the table as the European part of Greece’s bailout program expired at midnight Tuesday.

A demonstrator gestures in front of a banner reading “NO, not to fear” during a rally by supporters of the no vote to the upcoming referendum in the northern Greek port city of Thessaloniki, Wednesday, July 1, 2015.

Credit ratings agency Standard & Poor’s is warning that a “distressed” Greek exit from the euro would have “severe” consequences for the country’s economy.

After finally defaulting on its payments to the International Monetary Fund, reports are circulating that Greece has agreed to most of its creditors’s demands.

In a positive move the ECB has for now decided to keep emergency liquidity flowing to Greece’s cash-strapped banks.