Greece calls for referendum on bailout deal
Greek Prime Minister Alexis Tsipras. Photo: abc.net.au
(VOVworld) - Greece's prime minister has set a date of July 5 for a referendum on the country's bailout deal with international creditors. Alexis Tsipras made the announcement in a televised address to the Greek people early on Saturday, following an emergency cabinet meeting. Tsipras has accused Greece's creditors of demanding new pension cuts, sales-tax increases and labour market reforms. "Our responsibility is for the future of our country. This responsibility obliges us to respond to the ultimatum through the sovereign will of the Greek people," Tsipras said in a televised address to the nation.
Tsipras said he would ask creditors on Saturday for an extension "of a few days" to Greece's bailout program, which expires on Tuesday. Without an agreement on its international bailout, Greece faces the threat of running out of cash, defaulting on its loans and, possibly, leaving the euro currency. The country will be unable to make a $1.8bn payment to the International Monetary Fund on Tuesday, and even bigger payments later in July.