Greek Prime Minister Alexis Tsipras addresses the nation during a televised speech from his office in Athens on July 1, 2015. Source: AFP

A defiant Mr Tsipras said in a TV address yesterday that a “no” vote would strengthen his hand in negotiations with international creditors after six months of tortuous talks failed to produce a deal.

Greeks will be asked on Sunday to accept or reject proposals made by creditors last week.

Mr Tsipras insisted voting “no” would not signify “a rupture with Europe” despite efforts by EU leaders to cast it as a referendum on Greece’s place in the bloc.

“Come Monday, the Greek government will be at the negotiating table after the referendum, with better terms for the Greek people,” he said.

Finance Minister Yanis Varoufakis said the government “may very well” resign if the people vote “yes”.

Greece made a last-minute proposal for a third bailout worth nearly €30 billion ($47.6bn) to ­follow the two rescue programs worth €240bn that cash-strapped Athens has received since 2010.

But frustrated eurozone ­finance ministers agreed yesterday to wait until after the referendum before holding any more talks, saying there were “no grounds” for further discussions.

Germany immediately rejected any deal, with Chancellor Angela Merkel saying Europe should “calmly” await the result.

Greece’s plight was underlined on Wednesday when it became the first advanced economy to ­default on an International Monetary Fund repayment.

In Greece, chaotic scenes ­ensued when nearly 1000 banks reopened to allow elderly people limited access to their pensions after several days of capital ­controls limiting withdrawals.

“I worked for 50 years on the sea and now I am a beggar for €120,” one pensioner in Athens said. “I have no money for medication for my wife, who had an ­operation and is ill.”

EU officials consider a “no” vote as a risky step towards a possible exit of Greece from the eurozone and the beginning of an unprecedented crisis for the bloc.

An opinion poll showed the “no” camp in the lead with 46 per cent, against 37 per cent for “yes” and 17 per cent undecided.

Greece has requested more time to pay its debt, but the IMF said allowing a borrower to delay repayment was generally ineffective in helping a country overcome crisis. IMF chief Christine Lagarde told CNN that talks between Greece and creditors would benefit from “a bit more adulthood”.

Markets were still optimistic of an eventual deal despite German Chancellor Angela Merkel effectively ruling out all negotiations until after the referendum. “The world is watching us. But the ­future of Europe is not at stake,” she told Germany’s Bundestag, or lower house of parliament.

But signalling a rift in Europe’s united front, French President Francois Hollande called for an “immediate agreement” after six months of stalemate.

However, the head of the Eurogroup of finance ministers, Dutch Finance Minister Jeroen Dijsselbloem, made clear there were “no grounds for further talks at this point” because of the Greek ­government’s refusal to call off the referendum.

Ministers also agreed to “take note” of a letter from Mr Tsipras that emerged yesterday telling creditors he was ready to accept terms they offered at the weekend, as long as they included a VAT discount for Greek islands and postponing pension reform, he said.

The European Central Bank again decided to keep the amount of emergency funding Greek banks can access frozen at €89bn.

It was the ECB’s refusal to ­increase emergency funding for Greek banks that pushed Athens to close lenders for a week and ­impose the capital controls.

AFP