Leaders of France and Germany have told Greece's government the door for negotiations with creditors remains open but urged it to make credible proposals at a Eurozone summit to reach a cash-for-reform deal.
"The door is open for discussion," French president Francois Hollande told reporters, standing next to German chancellor Angela Merkel after talks at the Elysee Palace.
He said the two of them had taken note of the message sent earlier by Greek political parties expressing their desire for Greece to remain in the Eurozone.
"It's now up to the government of Alexis Tsipras to offer serious, credible proposals so that this can be turned into a program which gives a long-term perspective, because Greece needs a long-term perspective in the Eurozone with stable rules, as the Eurozone itself does."
We say very clearly that the door for talks remains open and the meeting of Eurozone leaders tomorrow should be understood in this sense.
German chancellor Angela Merkel
But he added: "I stress that there is not much time."
Ms Merkel said the conditions for a discussion on a program involving the European Union's bailout fund were not yet in place and urged Greece to put proposals on the table this week.
"We say very clearly that the door for talks remains open and the meeting of Eurozone leaders tomorrow should be understood in this sense," she said.
"But at the same time we say that the requirements for starting negotiations about a concrete ESM (European Stability Mechanism) program are not present at the moment."
The two leaders were due to pursue discussions over dinner.
The comments were the first from the two leaders after more than 60 per cent of Greeks voted in a referendum to reject the terms of a Eurozone bailout which would have imposed more austerity measures on an already ravaged economy.
Netherlands' prime minister Mark Rutte said Greece would have to accept deep reforms if it wanted to remain in the Eurozone.
In a debate in parliament in the wake of Greece's 'no' vote on the terms of a bailout package from its creditors, Mr Rutte said his government was unwilling to give any new funding to Greece unless it committed to reform.
"If things stay the way they are, then we're at an impasse," he said.
"There is no other choice, they must be ready to accept deep reforms."
Greece names Euclid Tsakalotos as new finance minister
Greece named economist Euclid Tsakalotos, its top negotiator in the stalled EU-IMF talks, as the country's new finance minister.
Rotterdam-born and Oxford-educated Tsakalotos, 55, taught economics at Kent University in Britain between 1990 and 1993 before relocating to Athens.
Who is Euclid Tsakalotos?
Euclid Tsakalotos, the mild-tempered professor appointed as Greece's new finance minister, is a clear change in style from his combative predecessor Yanis Varoufakis.The leftist economist and politician of the ruling Syriza party replaces flamboyant fellow economist Yanis Varoufakis, who stepped down on Monday.
Upon taking office, Mr Tsakalotos said Greeks declared in a referendum that they "deserve better" and "cannot accept a non-viable solution" to the country's debt crisis.
"We want to continue the discussion ... I believe something can change in Europe," said a shaken Mr Tsakalotos, who admitted to having "stage fright" upon assuming the post "not at the easiest moment in Greek history".
Meanwhile, the European Central Bank said in a statement that its governing council decided to maintain the emergency liquidity assistance keeping Greek banks afloat at the level set on June 26.
The ECB's council held a telephone conference call on Monday evening on Greece's cash crisis.
Greek banks will remain closed until Wednesday with limits on daily withdrawals unchanged, the state news agency reported, citing officials.
Capital controls were enacted on June 28, limiting ATM withdrawals by Greeks to 60 euros ($88) per account daily.
Photo: 'No' supporters celebrated the referendum results on the streets of central Athens. (Reuters: Marko Djurica)
Reuters/AFP
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Polling closes in Greece for referendum to decide financial future
Europe can't afford to let Athens go under, finance minister says
Tsipras demands debt write-off, 'grace period' for repayments; rival rallies fill streets
From other news sites:
Daily Telegraph: 'Merkel has lost' - how the Greece referendum vote split Europe
BBC: Greece debt crisis: Creditors press for new proposals
The Guardian: Greek referendum no vote signals huge challenge to Eurozone leaders
CBC: Greek bailout referendum: Finance Minister Yanis Varoufakis quits
Australian Financial Review: Greek debt crisis: Greece readies fresh bailout proposal for Tuesday summit
