Greece debt crisis: How will Greeks vote?

Prime Minister Alexis Tsipras called the referendum last weekend, asking Greeks to decide whether they should accept creditor reform proposals in return for bailout funds.

The government’s failure Tuesday to make a 1.5-billion-euro loan repayment to the International Monetary Fund has also focused minds.

Unable to borrow money on capital markets, Greece has one of the world’s highest levels of public debt. Greece’s only hope of escape from perpetual austerity is a “restructuring” of the debt that writes off as much as half of it. But Germany and the eurozone’s other big creditor countries will not even discuss that, because their own taxpayers would rebel. German Chancellor Angela Merkel said: “There can be no negotiations for a new credit program before the referendum“.

LONDON (AP) – Global stock markets took a battering Monday after Greece shuttered its banks for the week and imposed limits on cash withdrawals – developments that have reinforced fears the country is heading for a debt default and a messy exit from the euro. “Once the political crisis is over, after the Greek people deliver their verdict, banks will open”.

As Greek banks and markets remain closed Friday for a fifth day, rival campaigns scrambled to roll out their messages.

Pensioners without bank cards are being allowed to withdraw a maximum 120 euros ($167 Cdn) for the week from open bank branches.

“I have been jobless for almost four years and was telling myself to be patient”, said 43-year-old Eleni Deligainni, who said she voted “No”.

While current opinion polls in Greece show that the chance of a “no” vote is slightly ahead of a “yes” vote, the gap is closing.

“Things will get increasingly dire in Greece as the week goes on and if the Greek people vote ‘no, ‘ it will be a somewhat catastrophic situation”.

Posters from the ruling Syriza party calling for a “No” vote started to appear in central Athens.

But that particular proposal is no longer on the table. He wants an end to five years of rolling over Greece’s bailouts and “pretending” its debts can be repaid.

Unless the European Central Bank lifts the ceiling on emergency funding it provides at its next meeting on Monday, there is little prospect that they will reopen soon.

He raised questions about the government’s ability to continue talks in such a case and rejected its argument that it would be in a stronger bargaining position with a “no” vote.

“There will be no talks in the coming days”, Eurogroup President Jeroen Dijsselboem told reporters Wednesday evening. The Greek government says that is merely an attempt to terrorize the people into voting in favour of destructive austerity policies.

“Maybe we’ll change the configuration of the government because some of us will not be able to stomach it”, he said.

“All the creditors care about is getting the money back, they are suffocating us”, said Elizabeth Markos, a philosophy student with red hennaed hair and cut-off jeans. “I personally will not sign another extend and pretend (agreement)”. The queues are nothing next to all the suicides, the soup kitchens and the homeless on the streets of Athens.”.

The Greek finance minister, Yanis Varoufakis, has pledged to resign if his country votes yes to the bailout plan proposed by worldwide lenders.

But frustrated eurozone finance ministers agreed Wednesday to wait until after the referendum before holding any more talks, saying there were “no grounds” for further discussions.

“Greece is in a hard situation, but purely because of the behavior of the Greek government”, Schaeuble said in a speech in the German Parliament’s lower house.

“I don’t know if we’ll get a deal.

I urge you to strengthen this negotiating effort with your support, I invite you to say NO to the memorandum measures that are destroying Europe”, Tsipras said. “If the outcome is positive, then there is naturally, on the European side, the willingness to help Greece out of the gutter”.

And the Council of Europe – an independent body that monitors elections and human rights – told The Associated Press the referendum would fall short of global standards. If these exceed the amount Greece requested this week, possibly by a wide margin, creditors might have to impose tougher budget cuts than under the previous bailout in order to stabilize Greece’s debt-which Athens is unlikely to accept.