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Greece won't be blackmailed by EU partners: Source

Greek Finance Minister Yanis Varoufakis (AFP photo)

Greece has warned that it will not be "blackmailed" by its European Union partners, noting that its banks remain secure after the European Central Bank’s (ECB) move to limit access to a key source of funds by Greek lenders.

"The Greek republic does not intend to blackmail anyone but will not be blackmailed either," a government source said on Thursday, emphasizing that the Greek banking system "was fully secure."

The development comes following a Wednesday announcement by ECB that it would no longer allow Greek banks to use government debt as guarantee for loans.

The source added that the Greek government considers the ECB decision as "an act of political pressure to enable the rapid conclusion of an agreement" with the country’s international creditors.

Meanwhile, Greek Prime Minister Alexis Tsipras talked with ECB chief, Mario Draghi, late Wednesday, said the new government spokesman, Gabriel Sakellaridis.

"We are prepared to talk to all our creditors. [We want] all sides to understand that Greece is being subjected to an irrational policy," said the spokesman in an interview with private Mega TV insisting that Athens was interested in finding a solution "without a gun to our head."

The newly-elected anti-austerity government in Greece rose to power last week on a pledge to renegotiate the nation’s 240-billion-euro (USD-275-billion) EU-IMF bailout and erase over half of the national debt.

The Greek premier and Finance Minister Yanis Varoufakis have been holding many meetings with EU leaders and ECB authorities this week, hoping to draw the sympathy of allies to Greece's concerns.

Meanwhile, Varoufakis was scheduled to hold a meeting on Thursday with his German counterpart, Wolfgang Schaeuble, as Germany has steadfastly ruled out any debt relief for Greece.

MFB/KA/SS


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