The Greek Government has told the International Monetary Fund (IMF) it will not be making any loan repayments by imposed repayment deadlines. The news was confirmed in a statement released from the office of Greek Finance Minister Yanis Varoufakis.
This makes Greece the first "developed" country ever to not honor IMF loan obligations.
Greek Prime Minister Alexis Tsipras took to TV late last night to attack offers from the IMF and EC for "cash-for-reform" . He said agreeing to the reforms would "enslave" his people, although there will be a buck passing nation wide referendum on Sunday as to whether Greece should accept the offer. The referendum basically dissolves Tsipras and his Government of all responsibility for Greece's financial future.
In his TV address, the Prime Minister hinted he would resign if Sunday's vote was in favor of the reforms.
The EC offer expires on Tuesday and if it is rejected Greece will be left to fend for itself financially and more than likely lose its EC membership.
A last ditch olive branch was expended to Greece yesterday by German Chancellor Angela Merkel who said "the door is open for dialogue".
Banks in Greece remain closed today and limits of ATM withdrawals also continued as the country attempts to prevent total financial collapse till the results of Sunday's vote are known.
There has been a run on Greece's banks which have lost billions of euros over the last few months as people seek to place their money in what they believe are safer options.