EU rejects Greek bailout reform proposals
Commission spokesman says 'ball is now in court of Greek government'

The EU rejected Greece’s new bailout reform plan on Wednesday, officials said.

The reaction to Athens’ proposals for reforming its economy puts further pressure on Greek Prime Minister Alexis Tsipras as the country struggles to repay its European creditors and the International Monetary Fund (IMF).

European Commission President Jean-Claude Juncker's spokesman Margaritis Schinas told reporters the "ball is clearly in the court of the Greek government".

He added: "Their latest suggestions do not reflect the state of discussions between President Juncker and Prime Minister Tsipras last Wednesday night and that of further talks in Brussels this week."

Greece must agree reforms to cut government spending and produce a budget surplus if it is to receive the next 7.2 billion euros ($8.1 billion) in bailout aid from the IMF, the European Central Bank and the EU.

Without external funding, Greece could default on payments due to its creditors, raising the risk of it possibly leaving the 19-member Eurozone.

Although the proposals were rejected, Schinas said the European Commission was still studying them.

As the Greek delegation negotiated on Wednesday, Tsipras was scheduled to meet German Chancellor Angela Merkel, French President Francois Hollande and Eurogroup chief Jeroen Dijsselbloem.

However, the meeting hangs in the balance due to European frustration with Greece’s leftist, anti-austerity government.

Greece has until June 30 to pay 1.6 billion euros to the U.S.-based IMF.

The Greek Finance Ministry on Wednesday successfully auctioned 3 billion euros in Treasury bills but it is unclear whether these funds will be used for debt payments or to run the country's public services.

Last Modified: 2015-06-11 08:29:30
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