This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/world-europe-33499650

The article has changed 18 times. There is an RSS feed of changes available.

Version 5 Version 6
Greece debt crisis: Summit suspended for sideline talks Greece debt crisis: Eurozone summit resumes search for deal
(35 minutes later)
A eurozone summit has been put on hold to enable leaders to meet Greek PM Alexis Tsipras separately to agree to a debt rescue package. A eurozone summit has resumed its work after being temporarily suspended to enable leaders to meet Greek PM Alexis Tsipras separately over a bailout deal.
Mr Tsipras was shown meeting the German chancellor, the French president and the EU president, as they work to try and reach a deal by the end of Sunday. Mr Tsipras met the German chancellor, the French president and the EU president, as they work to try and reach a deal by the end of Sunday.
They are discussing new proposals put forward by eurozone finance ministers. Leaders are discussing new proposals put forward by their finance ministers.
A draft of the package suggests Greece could temporarily leave the eurozone if no agreement on a bailout is reached.A draft of the package suggests Greece could temporarily leave the eurozone if no agreement on a bailout is reached.
The four-page document says "Greece should be offered swift negotiations on a time-out from the euro area, with possible debt restructuring".The four-page document says "Greece should be offered swift negotiations on a time-out from the euro area, with possible debt restructuring".
Finnish Finance Minister Alex Stubb said one condition in the ministers' proposal requires Greece to implement new laws by Wednesday. Follow the latest updates here
Greece will also be required to introduce tough conditions on labour reform, VAT and taxes, and tough measures on privatisation and privatisation funds, Mr Stubb told reporters. Another suggestion is the establishment of an independent fund in which to transfer "valuable Greek assets... to be privatised over time and decrease debt".
The head of the Eurogroup of finance ministers, Jeroen Dijsselbloem, said a "couple of big issues" remain which would be left to the heads of government to rule on, though he did not give details. The document notes that Greece has agreed to introduce new legislation by Wednesday of a raft of new reforms on VAT and pensions among others.
Mrs Merkel told reporters before the meeting that the leaders would be considering whether "the conditions are met" to start negotiations on a third bailout. It also says the Greek government would carry out "ambitious" reforms to pensions and labour markets, "significantly" scale up its privatisation programme and "strengthen the financial sector".
"That's what is at stake, nothing more and nothing less," she said. The document noted that the amount of the new bailout could reach €86bn, far exceeding the €53.5bn ($59.47bn; £38.4bn) Greece is seeking to cover its debts until 2018.
But she warned that there would be "no agreement at any price", adding: "We have to make sure the pros outweigh the cons - for Greece's future, for the entire eurozone and the principles of our collaboration."
Mr Tsipras was more upbeat, telling reporters: "I'm here ready for an honest compromise... we can reach an agreement tonight if all parties want it."
The head of the European Parliament, Martin Schulz, said the future of Europe, not just Greece, was at stake if an agreement was not reached by the end of Sunday.
"The alternative will be that over the next few years we are going to find ourselves in a catastrophic state of affairs as far as Greece is concerned," he told a news conference in Brussels.
Analysis: Laurence Peter, BBC NewsAnalysis: Laurence Peter, BBC News
Chancellor Merkel and other eurozone leaders say there can be no third bailout unless trust is restored with the leftist Greek government.Chancellor Merkel and other eurozone leaders say there can be no third bailout unless trust is restored with the leftist Greek government.
After months of delay and political upheaval in Greece this is a make-or-break summit - not least because Greek banks are desperately short of cash.After months of delay and political upheaval in Greece this is a make-or-break summit - not least because Greek banks are desperately short of cash.
A deal tonight could pave the way for a third bailout - but the process is fraught with uncertainty.A deal tonight could pave the way for a third bailout - but the process is fraught with uncertainty.
A deal would require Greece to enact laws immediately to reform its pension system, sales tax (VAT) and labour market.A deal would require Greece to enact laws immediately to reform its pension system, sales tax (VAT) and labour market.
Ambitious privatisation is required too - something that has been delayed for years.Ambitious privatisation is required too - something that has been delayed for years.
But the Finnish and German parliaments have to vote even to allow new bailout talks to start.But the Finnish and German parliaments have to vote even to allow new bailout talks to start.
The future of the euro is at stake - and that is concentrating minds.The future of the euro is at stake - and that is concentrating minds.
Prior to the finance ministers meeting, many had spoken of a breakdown in trust between Greece and other eurozone nations over the negotiations. Arriving for Sunday's meeting, France's President Francois Hollande dismissed any suggestion of a "time-out" for Greece.
Reports on Saturday suggested that German ministers were drawing up a plan that would allow Greece to exit the eurozone temporarily if this weekend's talks fail - something Athens said at the time it was not aware of. "There is no temporary Grexit, there is a Grexit or there is not a Grexit," he said, adding that he would "do everything to find a deal tonight".
An option for a temporary Greek exit from the euro has reportedly been included in the finance ministers' document, but is in brackets to indicate it was not unanimously approved and must be put before the eurozone leaders for consideration. Mr Tsipras was also upbeat, telling reporters: "I'm here ready for an honest compromise... we can reach an agreement tonight if all parties want it."
The idea has been dismissed by France's President Francois Hollande who said: "There is no temporary Grexit, there is a Grexit or there is not a Grexit." Mrs Merkel said the key requirement for her is that "the conditions are met" to start negotiations on a third bailout.
He said France would "do everything to find a deal tonight, allowing Greece, if the conditions are met, to remain in the eurozone and allowing Europe to progress". "That's what is at stake, nothing more and nothing less," she said.
The new austerity measures submitted by Greece include: But she warned that there would be "no agreement at any price", adding: "We have to make sure the pros outweigh the cons - for Greece's future, for the entire eurozone and the principles of our collaboration."
Why did Greece hold a referendum? The head of the European Parliament, Martin Schulz, said a deal was absolutely vital to the future of Europe.
Did Greeks really fail to pay 89.5% of taxes? "The alternative will be that over the next few years we are going to find ourselves in a catastrophic state of affairs as far as Greece is concerned," he told a news conference in Brussels.
Greece is asking creditors for €53.5bn ($59.47bn; £38.4bn) to cover its debts until 2018. The Greek government earlier this week set out a new list of austerity measures to try to secure the bailout.
However, the finance ministers believe the amount of the new bailout could reach €86bn, with funds coming from the EU's bailout fund, the European Stability Mechanism, and the IMF. They included many measures that had been rejected by the Greek people in a referendum a week ago.
The Greek government this week set out a new list of austerity measures to try to secure the bailout - many of which had been rejected by the Greek people in a referendum last Sunday.
As the talks drag on, Greece's financial situation is close to collapse.As the talks drag on, Greece's financial situation is close to collapse.
Greece fell into arrears on an International Monetary Fund repayment on 20 June and faces a €3bn payment to the European Central Bank on 20 July.Greece fell into arrears on an International Monetary Fund repayment on 20 June and faces a €3bn payment to the European Central Bank on 20 July.
Banks have been closed for two weeks and a €60 daily limit on cash machine withdrawals, imposed on 28 June, remains in force for Greek citizens.Banks have been closed for two weeks and a €60 daily limit on cash machine withdrawals, imposed on 28 June, remains in force for Greek citizens.
Economy Minister Giorgos Stathakis told the BBC on Saturday that if there was a deal, banks could reopen within the week, but he admitted it could take a "few months" to remove capital controls.Economy Minister Giorgos Stathakis told the BBC on Saturday that if there was a deal, banks could reopen within the week, but he admitted it could take a "few months" to remove capital controls.
Are you in Greece? What is your reaction to the latest developments? Are you planning to travel to Greece this summer? Email haveyoursay@bbc.co.uk with your story.Are you in Greece? What is your reaction to the latest developments? Are you planning to travel to Greece this summer? Email haveyoursay@bbc.co.uk with your story.
Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways:Please include a contact number if you are willing to speak to a BBC journalist. You can also contact us in the following ways: