ATHENS: Greek voters overwhelmingly rejected international creditors’ tough bailout terms in a historic referendum Sunday that immediately sent the euro plummeting out of fear it could trigger a “Grexit” from the eurozone.
With near-complete results showing the ‘No’ vote winning by more than 61 percent, the outcome represented a political victory for radical left Prime Minister Alexis Tsipras who claimed his negotiating position to secure a new debt deal was now greatly bolstered.
Thousands of pro-government supporters cheered and hugged each other in central Athens in celebration, although some other Greeks expressed pessimism that Tsipras would be able to deliver on his promises.
Eurozone leaders and officials — some of whom viewed the plebiscite as an in-out vote on Greece’s membership in the euro — scrambled to work out their response.
German Chancellor Angela Merkel and French President Francois Hollande hastily called a European summit for Tuesday after stating the Greeks’ decision must “be respected”.
– ‘No rupture with Europe’ –
Tsipras has “torn down the bridges” between Greece and Europe, Merkel’s deputy chancellor, German Economy Minister Sigmar Gabriel, told the Tagesspiegel newspaper.
Despite the Greek premier’s assertions, new bailout negotiations now were “difficult to imagine,” he said.
European Commission president Jean-Claude Juncker — who had said a Greek ‘No’ would be “no to Europe” — was to speak to the European Central Bank (ECB) and eurozone finance ministers on Sunday and Monday.
The head of the Eurogroup of eurozone finance ministers, Jeroen Dijsselbloem, called the Greek ‘No’ result “very regrettable for the future of Greece”.-AFP