Reuters, Athens :
Greeks voted on Sunday whether to accept or reject the tough terms of an aid offer to stave off financial collapse, in a referendum that may determine their future in Europe’s common currency.
Held against a backdrop of default, shuttered banks and threats of financial apocalypse, the vote was too close to call and looked certain to herald yet more turbulence whichever way it went.
The country of 11 million people is deeply divided over whether to accept an offer by international creditors that left-wing Prime Minister Alexis Tsipras, elected in January on a promise to end years of crippling austerity, calls a “humiliation”.
He is urging a resounding ‘No’, saying it would give him a strengthened mandate to return to negotiations and demand a better deal, including a writedown on Greece’s massive debt.
His European partners, however, say rejection would set Greece on a path out of the euro, with potentially far-reaching consequences for the global economy and Europe’s grand project of an unbreakable union.
Angry and exhausted after five years of pension cuts, falling living standards and rising taxes, Greeks now face closed banks, rationed ATM withdrawals and the prospect of the country literally running out of cash.
Pensioners besieging bank gates to claim their retirement benefits, only to leave empty-handed and in tears, have become a symbol of the nation’s dramatic fall over the past decade, from the heady days of the 2004 Athens Olympics to the ignominy of bankruptcy and bailout.
Tsipras, a 40-year-old former student activist, has framed the referendum as a matter of national dignity and the future course of Europe.
“As of tomorrow we will have opened a new road for all the peoples of Europe,” he said after voting in Athens, “a road that leads back to the founding values of democracy and solidarity in Europe.”
A ‘No’ vote, he said, “will send a message of determination, not only to stay in Europe but to live with dignity in Europe.”
Not everyone agreed.
“You call this dignity, to stand in line at teller machines for a few euros?” asked pensioner Yannis Kontis, 76, after voting in the capital. “I voted ‘Yes’ so we can stay with Europe.”
Polls close at 7 p.m.(1200 EDT), with the first official projection of the result expected at 9 p.m.
Most opinion polls have the ‘Yes’ vote marginally in front. But all have been within the margin of error.
Called at eight days’ notice, the referendum offers Greece a ‘Yes’ or ‘No’ vote on a proposal that is no longer on the table.
Given the chaos of the past week, in which Greece became the first developed economy to default on a loan with the International Monetary Fund, a new bailout package would probably entail harsher terms than those on offer even last week.
Greeks voted on Sunday whether to accept or reject the tough terms of an aid offer to stave off financial collapse, in a referendum that may determine their future in Europe’s common currency.
Held against a backdrop of default, shuttered banks and threats of financial apocalypse, the vote was too close to call and looked certain to herald yet more turbulence whichever way it went.
The country of 11 million people is deeply divided over whether to accept an offer by international creditors that left-wing Prime Minister Alexis Tsipras, elected in January on a promise to end years of crippling austerity, calls a “humiliation”.
He is urging a resounding ‘No’, saying it would give him a strengthened mandate to return to negotiations and demand a better deal, including a writedown on Greece’s massive debt.
His European partners, however, say rejection would set Greece on a path out of the euro, with potentially far-reaching consequences for the global economy and Europe’s grand project of an unbreakable union.
Angry and exhausted after five years of pension cuts, falling living standards and rising taxes, Greeks now face closed banks, rationed ATM withdrawals and the prospect of the country literally running out of cash.
Pensioners besieging bank gates to claim their retirement benefits, only to leave empty-handed and in tears, have become a symbol of the nation’s dramatic fall over the past decade, from the heady days of the 2004 Athens Olympics to the ignominy of bankruptcy and bailout.
Tsipras, a 40-year-old former student activist, has framed the referendum as a matter of national dignity and the future course of Europe.
“As of tomorrow we will have opened a new road for all the peoples of Europe,” he said after voting in Athens, “a road that leads back to the founding values of democracy and solidarity in Europe.”
A ‘No’ vote, he said, “will send a message of determination, not only to stay in Europe but to live with dignity in Europe.”
Not everyone agreed.
“You call this dignity, to stand in line at teller machines for a few euros?” asked pensioner Yannis Kontis, 76, after voting in the capital. “I voted ‘Yes’ so we can stay with Europe.”
Polls close at 7 p.m.(1200 EDT), with the first official projection of the result expected at 9 p.m.
Most opinion polls have the ‘Yes’ vote marginally in front. But all have been within the margin of error.
Called at eight days’ notice, the referendum offers Greece a ‘Yes’ or ‘No’ vote on a proposal that is no longer on the table.
Given the chaos of the past week, in which Greece became the first developed economy to default on a loan with the International Monetary Fund, a new bailout package would probably entail harsher terms than those on offer even last week.
