The Latest: Turkey wants to help Greece recover

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Greece's Fate Lies in the Hands of Its Voters

ATHENS, Greece (AP) — The latest news on Greece's financial woes on a day a big repayment to the International Monetary Fund is due and the country's bailout program with European creditors ends (all times local):

Turkish prime minister says his country is ready to help Greece overcome its economic crisis and is offering to expand cooperation in areas such as tourism, energy and trade.

Ahmet Davutoglu said Turkey wants to live "in peace," and has no interest in seeing Greece "languish." Turkey and Greece have been long-time foes but the two countries have sought to build bridges over the past few years.

Davutoglu said Turkey would take steps to convene a high-level economic cooperation meeting between the two countries as soon as a new Turkish government is formed following what are expected to be drawn-out coalition talks.

An opposition legislator even suggested that Turkey help out with Greece's debt payment due to the IMF.


Check out the photos from demonstrators in Greece:

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The Latest: Turkey wants to help Greece recover
People gather in front of the White Tower, a city's landmark, in Thessaloniki on July 5, 2015, after early results showed those who rejected further austerity measures in a crucial bailout referendum were poised to win. Over 61 percent of Greek voters on July 5 rejected fresh austerity demands by the country's EU-IMF creditors in a historic referendum, official results from 50 percent of polling stations showed. AFP PHOTO /Sakis MitrolidisAFP PHOTO /Sakis Mitrolidis (Photo credit should read SAKIS MITROLIDIS/AFP/Getty Images)
People celebrate in Athens on July 5, 2015 after the first exit-polls of the Greek referendum. Over 60 percent of Greeks rejected further austerity dictated by the country's EU-IMF creditors in a referendum, results from 20 percent of polling stations showed. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
Protesters chant slogans in front of the Greek parliament in central Athens, on June 29, 2015. Some 17,000 people took to the streets of Athens and Thessalonique to say 'No' to the latest offer of a bailout deal, accusing Greece's international creditors of blackmail. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
Carrying banners calling for a 'NO' vote in the forthcoming referendum on bailout conditions set by the country's creditors, protesters gather in front of the Greek parliament in Athens, on June 29, 2015. Some 17,000 people took to the streets of Athens and Thessalonique to say 'No' to the latest offer of a bailout deal Monday, accusing Greece's international creditors of blackmail. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
An anti-EU protester burns an EU flag in front of the European Comission offices in Athens on July 2, 2015, during a demonstration supporting the no vote for the upcoming referendum. Greece's government and international creditors raised the stakes on July 2 over a weekend referendum seen as decisive for the nearly insolvent EU country's political and financial future. While Prime Minister Alexis Tsipras has urged Greeks to vote 'No' to the austerity measures demanded by international creditors, opposition parties including the centre-right New Democracy are campaigning for a 'Yes' vote in the referendum on July 5. AFP PHOTO / Louisa Gouliamaki (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
Riot police march alongside anti-EU protesters in front of the European commision offices in Athens on July 2, 2015, during a demonstration supporting the no vote for the upcoming referendum. Greece's government and international creditors raised the stakes on July 2 over a weekend referendum seen as decisive for the nearly insolvent EU country's political and financial future. While Prime Minister Alexis Tsipras has urged Greeks to vote 'No' to the austerity measures demanded by international creditors, opposition parties including the centre-right New Democracy are campaigning for a 'Yes' vote in the referendum on July 5. AFP PHOTO / Louisa Gouliamaki (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
ATHENS, GREECE - JUNE 29: Demonstrators during a rally in Athens, Greece, 29 June 2015. Greek voters will decide in a referendum next Sunday on whether their government should accept an economic reform package put forth by Greece's creditor. Greece has imposed capital controls with the banks being closed untill the referendum. (Photo by Milos Bicanski/Getty Images)
ATHENS, GREECE - JUNE 29: Demonstrators during a rally in Athens, Greece, 29 June 2015. Greek voters will decide in a referendum next Sunday on whether their government should accept an economic reform package put forth by Greece's creditor. Greece has imposed capital controls with the banks being closed untill the referendum. (Photo by Milos Bicanski/Getty Images)
People sing the greek national anthem under a giant greek flag, during a pro-European demonstration in front of the Greek parliament in Athens on June 22, 2015. Greece's international lenders raised hopes for a vital bailout agreement this week to save Athens from default and a possible euro exit, despite warning no deal was likely at an emergency summit. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
A protester bears on her wrist the ''NO'' slogan in reference to the forthcoming referendum on bailout conditions set by the country's creditors, during a demonstration in front of the Greek parliament in Athens on June 29, 2015. Greece shut its banks and the stock market and imposed capital controls after creditors at the weekend refused to extend the country's bailout past the June 30 deadline, prompting anxious citizens to empty ATMs. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
ATHENS, GREECE - JUNE 22: A man waves a EU flag as pro-Euro protesters take part in a rally in front of the Parliament on June 22. 2015 in Athens, Greece. Thousends of people attended the rally in support of Greece remaining in the European Union. The Eurozone's 19 national leaders held an emergency summit in Brussels to discuss the crisis and welcomed new proposals from the Greek government after talks today to haul Athens back from the brink of bankruptcy. (Photo by Milos Bicanski/Getty Images)
Protesters participate a demonstration in front of the Greek parliament in Athens on June 29, 2015. Greece shut its banks and the stock market and imposed capital controls after creditors at the weekend refused to extend the country's bailout past the June 30 deadline, prompting anxious citizens to empty ATMs. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
ATHENS, GREECE - JUNE 29: Demonstrators during a rally in Athens, Greece, 29 June 2015. Greek voters will decide in a referendum next Sunday on whether their government should accept an economic reform package put forth by Greece's creditor. Greece has imposed capital controls with the banks being closed untill the referendum. (Photo by Milos Bicanski/Getty Images)
Protesters demonstrate during a pro-European demonstration in front of the Greek parliament in Athens on June 22, 2015. Greece's international lenders raised hopes for a vital bailout agreement this week to save Athens from default and a possible euro exit, despite warning no deal was likely at an emergency summit on Monday. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
Protesters demonstrate during a pro-European demonstration in front of the Greek parliament in Athens on June 22, 2015. Greece's international lenders raised hopes for a vital bailout agreement this week to save Athens from default and a possible euro exit, despite warning no deal was likely at an emergency summit on Monday. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
ATHENS, GREECE - JUNE 29: Demonstrators during a rally in Athens, Greece, 29 June 2015. Greek voters will decide in a referendum next Sunday on whether their government should accept an economic reform package put forth by Greece's creditor. Greece has imposed capital controls with the banks being closed untill the referendum. (Photo by Milos Bicanski/Getty Images)
Leftist youth hold a placard reading 'No more recession, out of the eurozone' during a demonstration in Athens calling for Greece's exit from the eurozone on June 28, 2015. Greece weighed drastic banking restrictions to stave off a financial collapse as anxious Greeks emptied cash machines amid fears that banks will be closed this week. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
Foreign anti-EU activists protest in front of the Greek parliament in Athens, during a demonstration calling for 'NO' at referendum and for Greece's exit from the eurozone on June 28, 2015. Greek Prime Minister Alexis Tsipras stunned Europe late Friday with a surprise call for a July 5 referendum on the latest cash-for-reforms package and advised voters against backing a deal that he said spelled further 'humiliation'..AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
ATHENS, GREECE - JUNE 22: Pro-Euro protesters take part in a rally in front of the Parliament on June 22. 2015 in Athens, Greece. Thousends of people attended the rally in support of Greece remaining in the European Union. The Eurozone's 19 national leaders held an emergency summit in Brussels to discuss the crisis and welcomed new proposals from the Greek government after talks today to haul Athens back from the brink of bankruptcy. (Photo by Milos Bicanski/Getty Images)
Protesters walk over stickers reading 'Better drachma than submission' during a demonstration calling for an exit from the eurozone and a 'No' vote in the upcoming referendum in Athens on June 28, 2015. Greece weighed drastic banking restrictions to stave off a financial collapse as anxious Greeks emptied cash machines amid fears that banks will be closed this week. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
ATHENS, GREECE - JUNE 18: Pro-European Union protesters take part in a rally in front of the parliament on June 18, 2015 in Athens, Greece. Thousends people attended the rally in support of Greece remaining in the EU. About three-quarters of Greeks support keeping the EU's common currency, according to recent polls. Greece and creditors failed to reach an agreement Thursday in troubled bailout talks, with a June 30 deadline looming. .(Photo by Milos Bicanski/Getty Images)
Protesters participate in a demonstration calling for a 'No' vote in the forthcoming referendum on bailout conditions set by the country's creditors, in front of the Greek parliament in Athens on June 29, 2015. Greece shut its banks and the stock market and imposed capital controls after creditors at the weekend refused to extend the country's bailout past the June 30 deadline, prompting anxious citizens to empty ATM's. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
A woman is seen through a banner during a demonstration to protest against EU austerity policies and in support of the Greek government in Thessaloniki on 17 June, 2015. All eyes are on a meeting of the 19 eurozone countries to take place on June 18 in Luxembourg, but several officials including Greek Finance Minister Yanis Varoufakis said they were not expecting a breakthrough there either. AFP PHOTO /Sakis Mitrolidis (Photo credit should read SAKIS MITROLIDIS/AFP/Getty Images)
A man holds a placard with a Greek flag during a demonstartion to protest against EU austerity policies and in order to support the Greek government in Thessaloniki on 17 June, 2015. All eyes are on a meeting of the 19 eurozone countries to take place on June 18 in Luxembourg, but several officials including Greek Finance Minister Yanis Varoufakis said they were not expecting a breakthrough there either. AFP PHOTO /Sakis Mitrolidis (Photo credit should read SAKIS MITROLIDIS/AFP/Getty Images)
Communist-affiliated protesters throw leaflets from atop the occupied Finance Ministry in central Athens during their rally against EU-IMF loan deal on June 11, 2015. The Greek government said it would 'intensify' efforts to resolve differences with its EU-IMF creditors to reach a deal that would give the country desperately needed bailout funds. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
ATHENS, GREECE - JUNE 29: Demonstrators during a rally in Athens, Greece, 29 June 2015. Greek voters will decide in a referendum next Sunday on whether their government should accept an economic reform package put forth by Greece's creditor. Greece has imposed capital controls with the banks being closed untill the referendum. (Photo by Milos Bicanski/Getty Images)
A man holds a placard reading 'FMI+Troika=Criminals' as he protests in front of the European Commission headquarters in Barcelona during a demonstration in support of Greece, on June 29, 2015. Greece blindsided creditors on June 27, 2015 by calling a referendum for July 5 on the latest bailout proposal being offered to Greece, a move interpreted by its creditors as Athens' desire to break off negotiations. AFP PHOTO / LLUIS GENE (Photo credit should read LLUIS GENE/AFP/Getty Images)
A protester holds a Greek flag the ''NO'' slogan in reference to the forthcoming referendum on bailout conditions set by the country's creditors, during a demonstration in front of the Greek parliament in Athens on June 29, 2015. Greece shut its banks and the stock market and imposed capital controls after creditors at the weekend refused to extend the country's bailout past the June 30 deadline, prompting anxious citizens to empty ATMs. AFP PHOTO / ARIS MESSINIS (Photo credit should read ARIS MESSINIS/AFP/Getty Images)
ATHENS, GREECE - JUNE 22: Riot police stand with shields as pro-Euro protesters take part in a rally in front of the Parliament on June 22. 2015 in Athens, Greece. Thousends of people attended the rally in support of Greece remaining in the European Union. The Eurozone's 19 national leaders held an emergency summit in Brussels to discuss the crisis and welcomed new proposals from the Greek government after talks today to haul Athens back from the brink of bankruptcy. (Photo by Milos Bicanski/Getty Images)
A protester burns a five-euro banknote during a demonstration calling for an exit from the eurozone and a 'No' in the upcoming referendum in Athens on June 28, 2015. Greece weighed drastic banking restrictions to stave off a financial collapse as anxious Greeks emptied cash machines amid fears that banks will be closed this week. AFP PHOTO / LOUISA GOULIAMAKI (Photo credit should read LOUISA GOULIAMAKI/AFP/Getty Images)
Protesters take part in a demonstration in front of the Greek parliament in Athens on June 29, 2015. Greece shut its banks and the stock market and imposed capital controls after creditors at the weekend refused to extend the country's bailout past the June 30 deadline, prompting anxious citizens to empty ATMs. AFP PHOTO / Angelos Tzortzinis (Photo credit should read ANGELOS TZORTZINIS/AFP/Getty Images)
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German Chancellor Angela Merkel has made clear she isn't aware of any breakthrough in talks with Greece over a bailout deal before tonight's deadline.

Asked whether there's still a chance of a deal before the European part of Greece's bailout comes to an end, Merkel said in Berlin that Greece's bailout program expires at midnight and she knew of "no solid indications to the contrary."

Still, Merkel said that doesn't mean there can't be talks.

"The door is open for talks — that is all I can say at this hour," she said.

2.31 p.m.

The European Commission has indicated that an assessment of Greece's overall debt situation and its financing needs could be part of a last-minute bailout deal.

Late Monday, Commission President Jean-Claude Juncker made a last-ditch effort to help Greece get a bailout deal, provided Greek Prime Minister Alexis Tsipras campaigns for staying in the euro.

Beyond accepting proposals made by international creditors last weekend, Commission spokesman Margaritis Schinas said there would be unspecified discussions on Athens's massive debt load, which stood at 317 billion euros ($355 billion) at the end of 2014, or 177 percent of the country's annual GDP.

Juncker had expected an answer on that before midnight Monday, but round noon Tuesday, he was still waiting.

2.10 p.m.

Greek Finance Minister Yanis Varoufakis confirmed that the country will not make its payment due later to the International Monetary Fund.

When asked outside the Finance Ministry about whether Greece will pay the 1.6 billion euros due to the IMF, Varoufakis said "no."

His comment came amid speculation that Greek Prime Minister Alexis Tsipras is trying to craft some sort of last-minute deal with creditors before the payment is due and before the European part of Greece's bailout comes to an end.

A Greek official said Tsipras has spoken with European Commission President Jean-Claude Juncker, European Central Bank chief Mario Draghi and European Parliament president Martin Schulz.

The official did not reveal what was discussed.


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A pedestrian walks past an electronic stock board displaying the figure of the Nikkei 225 Stock Average, top right, outside a securities firm in Tokyo, Japan, on Monday, June 29, 2015. Japanese stocks fell and the yen strengthened as Greece moved to avert the collapse of its financial system after aid talks with creditors fell apart, raising the risk it could be forced to exit the euro zone. Photographer: Tomohiro Ohsumi/Bloomberg via Getty Images
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Spanish Prime Minister Mariano Rajoy says the most damaging aspect of a Greek exit from the euro would be the cloud of doubt it would cast over the irreversibility of the currency.

Interviewed on Spain's COPE radio Tuesday, Rajoy said that in the event of a Greek exit, people could think that "maybe another country could abandon it in the future. I think that would be the most serious problem that this could generate."

Rajoy said a Greek exit would not be the best news for either Greece or Europe "but Europe would continue with the euro."

A "no" vote in Sunday's referendum on creditor proposals would leave Greece with no option but to leave the euro, Rajoy added.

12.43 p.m.

Stock markets across Europe trimmed earlier losses amid speculation that the Greek government is considering a last-minute effort by the head of the European Commission to break the deadlock between the country and its creditors.

Jean-Claude Juncker has made a last-ditch effort to help Greece get a bailout deal, provided Greek Prime Minister Alexis Tsipras campaigns for staying in the euro.

"Deep down there is a sense that some sort of compromise will be reached before the deadline — it's the eurozone way," said David Madden, market analyst at IG.

The Stoxx 50 index of leading European shares was down only 0.4 percent, having earlier traded more than 1 percent lower.

12.32 p.m.

The Kremlin has brushed off speculation that it could lend money to Greece.

Greek Prime Minister Alexis Tsipras has visited Russia twice since April, stoking speculation that Athens could be seeking financial aid from Moscow which is eager to leverage the pro-Russian stance of the new Greek government.

A Russian deputy prime minister said earlier this month that Russia could consider a loan to Greece.

But Dmitry Peskov, spokesman for President Vladimir Putin, insisted that financial help is not on the agenda. Peskov said in comments carried by Russia news agencies that providing financial assistance to Greece "is a matter .... between Greece and its creditors and not ours."

12.13 p.m.

The scale of the economic pain inflicted upon Greece by years of recession and strict austerity was evident in official figures showing unemployment in the country stood at 25.6 percent in March.

Eurostat, the European Union's statistics agency, also said found that 49.7 percent of those aged between 15 and 24 were unemployed.

Though both rates are down from the peaks they hit a couple of years back, they do still show the scale of the economic retreat in the country. The ranks of the unemployed were major supporters of Syriza in its election victory earlier this year.

11.35 a.m.

Just hours before the European part of Greece's bailout program expires, Europe's main banking lobby group urged the country and its creditors to make a last-ditch effort to secure a deal.

But it insisted that the banking sector would weather any crisis.

The Brussels-based European Banking Federation said Tuesday that banks "have significantly reduced their exposures to Greece, limiting the risk of contagion through the banking system to other countries."

It said "the European economic and financial system is sufficiently robust to deal with possible adverse impacts" once the program ends.

10.42 a.m.

The Greek Finance Ministry says it will open about 1,000 bank branches across the country for three days from Wednesday to allow pensioners without bank cards to make withdrawals — but for a total of just 120 euros ($134) for the week.

It was unclear why they would not be allowed to withdraw the 60-euro daily limit.

Meanwhile, irate depositors called in to television stations to report that some ATMs in Athens had run out of 20-euro notes, leaving them dispensing 50 euro notes only.

10.27 a.m.

Jean-Claude Juncker, the head of the European Commission, has made a last-ditch effort to help Greece get a bailout deal, provided Greek Prime Minister Alexis Tsipras campaigns for staying in the euro.

An EU official, official who asked not to be identified because of the sensitivity for the talks, called it "a sort of last-minute offer" before Greece's bailout program runs out later and Athens needs to make a 1.6 billion euro ($1.8 billion) debt payment to the IMF.

Under the offer, Tsipras would need to write to Junker and other leaders saying he accepts the offer which was on the negotiating table last weekend. He would also have to change his position on Sunday's referendum. Tsipras has said he will urge a vote against creditors' proposals.

10.04 a.m.

The mood in European financial markets remained edgy amid growing expectations that Greece will not make a repayment to the International Monetary Fund.

Prime Minister Alexis Tsipras said Monday the payment would not be made if there is no deal with creditors over extending Greece's bailout.

In early trading, the Stoxx 50 index of leading European shares was down 0.9 percent while Germany's DAX fell 0.7 percent.

On Monday, stocks slid in the wake of Greece's decision to call a referendum for July 5 on creditors' bailout proposals and to impose controls on capital.

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