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Sunday, July 5, 2015

Greece Votes In Bailout Referendum In Biggest Test Yet For Euro

ATHENS, Greece (AP) — The latest from the referendum in Greece (all times local): ___ 12:45 a.m. The Greek referendum does not address whether Greece should abandon the euro currency or leave the 28-member European Union, but many voters believe those issues are at stake. Polls published Friday showed the two sides in a dead heat over whether to accept creditors' demands for more austerity or reject them. But an overwhelming majority of those polled — about 75 percent — wanted Greece to remain among the 19 European nations using the shared euro currency. Here's the yes-or-no question Greeks face Sunday — and it's not an easy one: "Must the agreement plan submitted by the European Commission, the European Central Bank and the International Monetary Fund to the Eurogroup of 25 June, 2015, and comprised of two parts which make up their joint proposal, be accepted? The first document is titled 'reforms for the completion of the current program and beyond' and the second 'Preliminary debt sustainability analysis.'" ___ 11:40 a.m. Greece's prime minister says the country's austerity referendum is sending the message that Greeks are embracing a united Europe but want to live "with dignity." Prime Minister Alexis Tsipras said after casting a 'no' ballot Sunday that the vote demonstrates the Greek people's right to choose their own future. He said although many Greeks may pick a different choice than the government, "no one can ignore the will of the people to take their lives in their hands." Tsipras said the referendum "defeats fear and ultimatums."   Tsipras wants the "no" side to win. He says that will booster his negotiating position to secure a better deal with creditors for loans to avoid a default and a banking collapse. ___ 11:20 a.m. Which will help Greece more — voting "yes" or "no" to accepting more austerity demands from creditors? Greek Prime Minister Alexis Tsipras says a "no" vote would strengthen his hand to negotiate a better deal. But proponents of a "yes" vote, including a parade of former prime ministers and the main opposition party, say backing his government will jeopardize Greece's place in the club of 19 nations who use the common euro currency. Instead, they argue by voting "yes" Greece would get a new deal quickly to shore up its sinking economy. Conservative opposition leader Antonis Samaras cast his ballot Sunday, saying "we vote 'yes' to Greece. We vote 'yes' to Europe." ___ 10:25 a.m. The Greek referendum on whether or not to accept bailout demands by creditors is causing deep divisions, even among individual families. Dimitris Danikoglous says he is voting "yes" because he fears Greece would be in danger if it leaves the European Union. His daughter Alexandra is voting "no" because she is tired of richer European nations bossing Greece around. His son, Nikolas, is on his side — and he thinks polarized Greece may be on the verge of a civil war. His wife Dimitra distrusts both the Yes and the No campaigns and doesn't plan to vote in Sunday's momentous referendum. In their apartment in the working-class Athens neighborhood of Tavros, the family members squabble over espresso frappes and fruit juice. Still, they are united in their belief that only as a strong family can they weather the coming storm. ___ 7 a.m. Polls have opened across Greece in a hastily called referendum on whether the EU country will accept the tough creditor conditions attached to loans needed to avoid default and a banking collapse. A "no" may lead to a chaotic departure from the shared euro currency. Even "yes" is no guarantee that creditors will agree to lend the billions more euros needed to get the country back on its feet. Prime Minister Alexis Tsipras is banking on fellow Greeks to deliver a resounding "no" in the popular vote that he believes will give him strong leverage in his negotiations with creditors — the EU and the International Monetary Fund — to swing a softer bailout deal. Proponents of a "yes" vote, including the main opposition party, say backing the government will jeopardize Greece's place in the 19-nation eurozone. Instead, they argue voting "yes" will allow Greece to get a new bailout deal quickly to shore up the economy. Greek Prime Minister Alexis Tsipras is gambling the future of his 5-month-old left-wing government on the snap poll — insisting that a "no" vote would strengthen his hand to negotiate a better deal with the country's creditors, and a "yes" would be a capitulation to their harsh demands. The opposition accuses Tsipras of jeopardizing the country's membership in the eurozone and says a "yes" vote is about keeping the common currency. Tsipras' high-stakes standoff with lenders— the European Union and the International Monetary Fund — resulted in Greece defaulting on its debts this past week and shutting down banks to avoid their collapse, and lose access to billions of euros after an existing bailout deal expired. The sense of urgency was palpable all week when Greeks struggled to decipher a convoluted referendum question while being bombarded with frenzied messages of impending doom or defiance. A series of polls published Friday at the end of a frantic weeklong campaign showed the two sides in a dead heat, with an incremental lead of the "yes" vote well within the margin of error. They also showed an overwhelming majority of people — about 75 percent — want Greece to remain in the euro currency. Aris Spiliotopoulos, a 22-year-old who is launching his own tourism start-up, said he believes the vote is about whether Greece choses to stay among the club of nations that uses the euro as their currency and ultimately whether the country opts to stay in the European Union itself. "I am voting 'yes' because I believe that my future and even my kids' future, in twenty or thirty years from now, is in the eurozone and the European Union," Spiliotopoulos said on the eve of the referendum. Gym teacher Alkiviadis Kotsis said he is voting "no" because the country and its people simply can't take more austerity. "No matter how many loans you take, you cannot get by if you don't produce things. You can't do anything," he said. No matter the referendum result, Tsipras faces a tough road ahead, fraught with uncertainty about whether he will be able to deliver an improved bailout agreement. Yale University political science professor Stathis Kalyvas said the Greek government will face daunting challenges no matter which way the vote goes. In case of a "no" win, Kalyvas said the Greek government could be confronted with the refusal of other eurozone countries to negotiate a better deal because of their distrust of Tsipras. A "yes" win won't mean a road to the negotiating table strewn with roses either, but would likely usher in a new government with a shot at negotiating an improved deal, Kalyvas said. He said if the European Union wants to keep Greece in the eurozone, it will have to come up with "a very generous plan" since the cost of the crisis has shot up to unanticipated levels. That was borne out by German Finance Minister Wolfgang Schaeuble, who told daily Bild on Saturday that future negotiations between Greece and its creditors will be "very difficult," because the country's economic situation has worsened dramatically in recent weeks. Schaeuble repeated the German government's position that for a community like Europe to work, all countries need to abide by the rules. Meanwhile, Greece's Finance Minister Yianis Varoufakis launched a salvo at other eurogroup nations, accusing them of holding out on a bailout deal to allow bank coffers to run dry so they could spring a "vile ultimatum" on the government to accept what he called a humiliating deal. Writing in the Saturday edition of daily Kathimerini, Varoufakis said other eurogroup members rejected Greece's "honorable" counter-proposals and insisted on extracting "humility." Varoufakis said accepting the creditors' terms would be a "permanent condemnation" while rejecting it would offer the "only prospect for recovery." With speculation swirling on the referendum's impact on Tsipras' government, Greece's Deputy Prime Minister Yiannis Dragasakis denied media reports that he would accept to lead a new "grand coalition" government. "The country has a prime minister who will have an even stronger popular mandate and support. I will serve this mandate on my part," he said in a statement. ___ Online: Official referendum website: http://www.referendum2015gov.gr/en/ ___ Associated Press writers Iuliia Subbotovskaia and Eftehia Katsareas in Athens, Greece, contributed to this report.-- This feed and its contents are the property of The Huffington Post, and use is subject to our terms. It may be used for personal consumption, but may not be distributed on a website.


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