Live updates

Greece debt 'unsustainable', says IMF

Huge debt relief is needed for Greece if its economy is to recover and the country become self-supporting, a senior International Monetary Fund official has said.

Anti-EU protesters demonstrated in Athens on Monday Credit: Reuters

The IMF updated its projections on Monday of Greece's financing needs and concluded that the country's debt situation was "unsustainable," said the official, who spoke on condition of anonymity.

That means the country's European creditors need to either write down the debt they are owed, or give Greece a grace period of as long as 30 years.

We have made it clear ... we need a concrete and ambitious solution to the debt problem. I don't think this is a gimmick or kicking the can down the road ... If you were to give them 30 years grace you are allowing them in the meantime to bring down debt by ... getting some growth back

– IMF official


Greek PM says 'I signed a deal I do not believe in'

Alexis Tsipras has said that the bailout deal he agreed with Eurozone leaders is one he does not believe in but is willing to implement it and take responsibility for it.

Speaking on Greek television, the country's prime minister also said he believed that last week's referendum would not put the country's euro membership at risk, but that Greece's lenders have displayed a vindictive stance.

Bailout deal legislation submitted to Greek parliament

The Greek finance ministry has submitted legislation, required by a deal struck with its international lenders, to parliament.

Prime Minister Alexis Tsipras has until Wednesday night to pass the measures, which include VAT and pension reforms, in order to start negotiations with European creditors on a third bailout.

Greek PM faces dissent in the ranks over bailout deal

Greek Prime Minister Alexis Tsipras faces a showdown with rebels in his own party and coalition partners as he battles to win support for the third bailout offered by the eurozone leaders.

Greek Prime Minister Alexis Tsipras talks to the press at the end of the Greece - EU summit. Credit: PA

The terms imposed by international lenders led by Germany in all-night talks at an emergency summit obliged Tsipras to abandon promises of ending austerity.

Instead he must pass legislation to cut pensions, increase VAT, clamp down on collective bargaining agreements and put much of the country's economy in the hands of its creditors.

If the deal falls through, Greece's banks face collapse and the country could finally be forced to leave the euro.

The latest bailout is conditional on Greece passing all the agreed reforms - including raising tax revenue and liberalising the labour market - in parliament by Wednesday.

Finance ministers from all 28 EU countries are holding a scheduled meeting in Brussels later this morning, where they will discuss the situation in Greece.

George Osborne: No UK cash for Greek bailout

An anti-EU protester unfurls a Greek national flag next to riot police on the steps in front of the parliament in Athens. Credit: Reuters

The Chancellor is seeking to block any move by the EU to use hundreds of millions of pounds of UK taxpayer's money in the latest efforts to rescue the Greek economy from oblivion.

In a series of telephone conversations with counterparts ahead of a meeting in Brussels later today, George Osborne is said to have made clear that ignoring a 2010 agreement by using the EU budget as collateral against short-term loans for Athens was a "non-starter".

A Treasury source said: "Our eurozone colleagues have received the message loud and clear that it would not be acceptable for this issue of British support for eurozone bailouts to be revisited.

"The idea that British taxpayers' money is going to be on the line in this latest Greek deal is a non-starter."


Lagarde: Greek deal 'is a first step to rebuilding growth'

International Monetary Fund (IMF) Managing Director Christine Lagarde talks to Greek Finance Minister Euclid Tsakalotos. Credit: Reuters

International Monetary Fund (IMF) Managing Director Christine Lagarde said that the deal on Greek debt is "a first step."

Without doubt, we have the feeling that it's a first step to rebuild growth. Now we have to implement the measures and continue with the steps.

– Christine Lagarde

Greeks call German minister a 'Nazi' after debt deal

Many Greeks have reacted angrily to news of the deal agreed by eurozone leaders, with many directing their anger at the German Chancellor Angela Merkel and especially towards finance minister Wolfgang Schaeuble.

A poster depicting a defaced image of German Finance Minister Wolfgang Schaeuble on the wall of a Eurobank branch in Athens. Credit: Reuters

Newspapers laced the morning's headlines with references to World War Two and railed against what they see as Berlin's attempts to humiliate Greece.

In particular, Greeks bristled at Schaeuble's proposal, which was not included in the final deal, for a temporary Greek exit from the euro zone, which many saw as tantamount to expulsion by stealth.

A poster depicting a defaced image of Schaeuble on the wall of a Eurobank branch in Athens highlighted the anger felt by some on the streets of Greece.

Load more updates