EU, International Monetary Fund tell Eurogroup Greek proposals form basis for bailout talks

Eurozone finance ministers met Saturday to decide if they will bail Greece out for a third time since 2010, but the meetings wrapped up with no announced decision.

The head of France’s governing Socialist Party is appealing to other left-leaning parties in Europe to push for a deal to save Greece’s economy.

Now, Tsipras is pledging to make billions of euros worth of cuts and overhauls to secure such a deal, despite a resounding rejection of more austerity in the national referendum he called last week.

“Italy does not want Greece to exit the euro and to Germany I say: enough is enough”, adding that “Humiliating a European partner after Greece has given up on just about everything is unthinkable”, the quote went on.

Eurozone leaders decided at an emergency meeting earlier this week that Greece should have one more chance to present a credible rescue plan. “He said, with this proposal, the Greek people and the Greek government, confirm their commitment to fulfilling reforms that will ensure Greece remains a member of the Eurozone, and ending the economic crisis”.

Saturday’s meeting of eurozone finance ministers ended after nine hours of debate without reaching an agreement on whether to reopen talks on a third bailout for Greece.

“It is still very difficult, but work is still in progress”.

The Greek parliament early Saturday passed the bailout proposals package with 251 votes in favor and 32 against.

“But it means the question of the mandate for negotiations will be bumped up to the eurozone summit” as finance ministers are unable to seal an agreement, the source said.

“I have cancelled EUCO (the European Union summit) today”, European Council President Donald Tusk said in a tweet.

Greece’s banks, as mentioned by many accounts, have barely enough cash in their vaults to see the country through the week.

Greek banks have been shuttered for the best part of two weeks and daily withdrawals from ATMs have been limited to a paltry 60 euros ($67). The economy is in freefall and the country faces a raft of big debt repayments.

Other ministers arriving for the Eurogroup session spoke of a fundamental lack of trust after years of broken Greek promises and six months of erratic and provocative behaviour by the radical leftist Tsipras government. Greece is also proposing changes to public pensions, such as raising the retirement age, and steps to improve tax collection. German Finance Minister Wolfgang Schauble has been a severe critic of Greek reform proposals.

Greece has already defaulted on a 1.6 billion euro ($1.8 billion) payment to the worldwide Monetary Fund last month.

In Finland, there were reports that the government is refusing to back further assistance for the stricken nation. Traditionally, eurozone ministers agree by mutual consensus.

The Greek government has made some form of debt relief a key priority and will hope that a comprehensive solution will involve European creditors at least agreeing to delayed repayments or lower interest rates.

Greek debt stands at around 320 billion euros ($357 billion) – a staggering 180 percent or so of the country’s annual GDP.