The Eurogroup rejected on Tuesday the request of the Greek government to extend the bailout programme of the country.

This became clear after the end of the extraordinary teleconference of the eurozone finance ministers.

The conference call was necessitated after the Greek government submitted its latest list of proposals earlier on Tuesday.

These developments come just hours before Greece is expected to default on its IMF debt repayment of EUR 1.6 B, which falls due later on Tuesday.

It is likely for a new meeting of eurozone finance ministers to be convened again on Wednesday to discuss the other proposals of Greek Prime Minister Alexis Tsipras.

In its latest proposal, Greece asked for an extension of its bailout and a new two-year EUR 29.1 B aid deal under the European Stability Mechanism (ESM) with a parallel debt restructuring.

However the Greek government made no concessions to the demands of international creditors for economic reforms.

Greece requested for its bailout programme to be extended for a short period of time in order to avert a technical default on its IMF debt repayment.

Finnish Finance Minister Alexander Stubb announced that an extension of the bailout programme was not possible, while the request for new ESM programme had to be dealt through the normal procedures.

Source