Greece rejects 'blackmail' in eurozone debt deal row

European ministers raised the pressure on Greece to accept a last-minute debt deal today as the radical leftist government in Athens remained defiant refusing "blackmail" from Brussels.
Europe and Greece are racing to come to an agreement and avoid a catastrophic Greek exit from the eurozone, after talks ended bitterly yesterday with both sides digging into their positions.
"We will not accept psychological blackmail," Greek Prime Minister Alexis Tsipras said in a speech to parliament as he named former conservative minister Prokopis Pavlopoulos as his party's candidate for president.
Tsipras is also going ahead with reform measures that flout Greece's bailout obligations, calling for parliament to vote on a series of anti-austerity reform bills at the end of the week.

But Greece is becoming increasingly isolated and is facing a united front of its eurozone partners. Led by paymaster Germany, the single currency bloc will not allow Athens to side step its austerity-filled bailout programme which expires at the end of the month.
"There was a completely unanimous position of the Eurogroup on the Greek issue," said influential German Finance Minister Wolfgang Schaeuble, a day after the debt talks collapsed.

The tense meeting ended abruptly yesterday with Eurogroup head Jeroen Dijsselbloem, who is also Dutch finance minister, giving Greece just 48 hours to request an extension to the bailout.
The Tsipras government has bitterly rejected the extension demand and is seeking a new arrangement that would ease up on the harsh austerity it says has damaged the Greek economy.

"The Greek government will not accept ultimatums," a government source said in Athens where popular support for the Tsipras government is running strong.
"It's the first time a government is standing with dignity in Europe," said pensioner Thomas Argiros on the iconic Syntagma square in Athens.
Yesterday's meeting was the second time in a week that talks among eurozone ministers ended in acrimony amid accusations by Greece that Dijsselbloem, backed by Germany, had torpedoed deliberations with "absurd" demands.
Despite the wall of opposition, Greek Finance Minister Yanis Varoufakis said the different sides would find agreement in time to set up a new meeting for Friday.

"We know in Europe how to deliberate in such a way to create a very good solution, an honourable solution out of initial disagreements," Varoufakis said today.