Eurozone finance ministers say they
expect to hear new proposals from Greece after the country voted to
reject the terms of a bailout.
A spokesman for German Chancellor
Angela Merkel said there was currently "no basis" for talks on a new
bailout and the ball was in Greece's court.
Mrs Merkel has met French President Francois Hollande in Paris ahead of a eurozone summit on Tuesday.
Meanwhile, Greek banks are to stay closed on Tuesday and Wednesday.
They
had been due to reopen on Tuesday but the head of the Greek banking
association, Louka Katseli, said the period had been extended following
talks on Monday.
Germany's economy minister has warned against
any unconditional write-off of Greece's debt, saying it would destroy
the single currency.
"I really hope that the Greek government - if
it wants to enter negotiations again - will accept that the other 18
member states of the euro can't just go along with an unconditional
haircut (debt write-off)," said Sigmar Gabriel, who is also Germany's
vice-chancellor.
"How could we then refuse it to other member
states? And what would it mean for the eurozone if we'd do it? It would
blow the eurozone apart, for sure," he added.
German viewpoint, by BBC Berlin correspondent Jenny Hill
Among the German tourists taking photographs outside the Reichstag in Berlin I met Peter.
The
Greeks, he told me, "aren't willing to pay back their debts and I'm not
very happy about it. I want Greece to think of the whole of Europe and
not just themselves".
It's a commonly held view here. Greece may
push for a debt cut or restructuring - especially after the
International Monetary Fund (IMF) said that is exactly what the country
needs - but it simply won't wash in Berlin. Angela Merkel ruled out that
approach earlier this year, and today her vice chancellor echoed her.
Greece
must successfully institute reform first, said Sigmar Gabriel. To offer
debt relief now, he said, would destroy the eurozone. Eurozone
finance ministers are to meet on Tuesday followed by a full summit of
eurozone leaders. According to a Greek government official, Prime
Minister Alexis Tsipras is expected to present fresh proposals at the
summit.
Mr Tsipras has noted that a recent IMF assessment
confirmed that restructuring Greece's debt of more than €300bn (£213bn;
$331bn) was necessary.
In another development, Greek officials
named Euclid Tsakalotos to replace outspoken Finance Minister Yanis
Varoufakis, who resigned on Monday.
Meanwhile, the European
Central Bank (ECB) has said it will maintain emergency cash support for
Greek banks, which are running out of funds and on the verge of
collapse.
Media captionGreek economy minister Giorgos Stathakis: 'Banks have cash for a number of days'
Last
week, Greece ordered banks to close after the ECB froze its financial
lifeline following the breakdown of bailout talks in Brussels.
Capital controls have been imposed and people are queuing to withdraw their limit of 60 euros a day.
Greece's
Economy Minister, Georgios Stathakis, had earlier told the BBC that the
ECB had to keep Greek banks alive for seven to 10 days so that
negotiations could take place. Global financial markets have fallen over fears that Greece is heading for an exit from the euro.
Jeroen
Dijsselbloem, head of the Eurogroup of finance ministers, said the
result of Sunday's referendum was "very regrettable for the future of
Greece".
"For recovery of the Greek economy, difficult measures
and reforms are inevitable. We will now wait for the initiatives of the
Greek authorities," he said.
Mrs Merkel's spokesman, Steffen Seibert, said Greece had to make the next move.
"It
is up to Greece to make something of this. We are waiting to see which
proposals the Greek government makes to its European partners," he said.
After
their talks, Mr Hollande and Mrs Merkel said the door was still open
for debt negotiations, but detailed proposals from Greece were needed.
"It
is now up to the government of Alexis Tsipras to make serious, credible
proposals so that this willingness to stay in the eurozone can
translate into a lasting programme," Mr Hollande said. Varoufakis departure: Twitter reacts Robert Peston: 48 hours to keep Greece in euro Gavin Hewitt: Greece votes 'no' and gambles future 'No' prompts mixed feelings in Greek press What does Europe make of Greece after 'no' vote? At
an earlier news conference in Brussels, the European Commission
vice-president for the euro, Valdis Dombrovskis, said the Greek
government needed to be "responsible and honest" with its people about
the potential consequences of the decisions it was facing.
"The 'no' result, unfortunately, widens the gap between Greece and other eurozone countries," he said.
"There is no easy way out of this crisis. Too much time and too many opportunities have been lost."
But he said the stability of the eurozone was not in question, adding: "We have everything we need to manage the situation."
What are the scenarios for Greece?
What happens next? Hours
after the referendum result, Yanis Varoufakis resigned as finance
minister, saying that eurozone finance ministers, with whom he had
repeatedly clashed, had wanted him removed.
Mr Varoufakis said he
had been "made aware of a certain preference by some eurogroup
participants, and assorted 'partners', for my... 'absence' from its
meetings".
His replacement, 55-year-old economist Euclid Tsakalotos, was Mr Tsipras's lead bailout negotiator.
Yanis Varoufakis sped away from the finance ministry with his wife, after his resignation
Greece had been locked in
negotiations with its creditors for months when the Greek government
unexpectedly called a referendum on the terms it was being offered.
Greece's last bailout expired on Tuesday and Greece missed a €1.6bn payment to the IMF.
The
European Commission - one of the "troika" of creditors along with the
IMF and the ECB - wanted Athens to raise taxes and slash welfare
spending to meet its debt obligations.
Greece's Syriza-led
government, which was elected in January on an anti-austerity platform,
said creditors had tried to use fear to put pressure on Greeks.
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