Greece's Tsipras summons cabinet as debt deadline nears (Euro zone partners ratchet things up)

Reuters on Yahoo ^ | 6/26/15 | Renee Maltezou and Jan Strupczewski

[NormsRevenge]

BRUSSELS/ATHENS (Reuters) - Greek Prime Minister Alexis Tsipras summoned an urgent meeting of his cabinet on Friday after euro zone partners warned Athens it had until the weekend to accept a cash-for-reform deal or plunge towards default.

Despite angry rhetoric and accusations of "blackmail", negotiations were continuing in Brussels to find a last-ditch compromise to keep Greece in the euro zone to avoid a political train-wreck, economic chaos and financial market disruption.

...

He said there was no foundation for the increasing speculation in Athens that Tsipras could call snap elections if a deal cannot be reached.

...

In a carrot-and-stick approach, the euro zone offered to release billions in frozen aid if Greece accepted and implemented pension and tax reforms that are anathema to its leftist government, elected in January on a promise to end austerity.

They also made a gesture towards Tsipras' demands for debt relief by offering to reaffirm a 2012 pledge to consider stretching out loan maturities, lowering interest rates and extending an interest payment moratorium on euro zone loans to Greece, a senior EU official said.

However, a Greek government official rejected as "totally inadequate" the creditors' offer to extend its existing bailout programme by five months, as the leftist premier flew home to Athens.

"NOT OVERLY OPTIMISTIC"

German Chancellor Angela Merkel and French President Francois Hollande met Tsipras on the sidelines of an EU summit to coax him to accept an offer to fill Athens' empty coffers until November in return for painful reforms.

If Greece does not clinch an agreement at the weekend to unlock funds, it is set to default on an International Monetary Fund loan on Tuesday, possibly sparking a bank run, capital controls and raising doubts about its future in the euro zone.

[NormsRevenge]

I like carrots,, stewed, raw, a little olive oil or butter.. but not with a stick.

Market watchers. Heads up!

[oblomov]

Tsipras is the Bill DeBlasio of Greece, but slightly further to the left and almost as competent.

[Cowboy Bob]

I've never seen a picture when Tsipras didn't have a smirk on his face. I would love to see Greece default just to see that punk get what he deserves.

To the pensioners in Greece: It's better to take a 10% haircut on your pension then to lose 100% of it.