Tsipras with little choice: Lower pants or quit Euro

FXStreet (Bali) - European leaders and the Greek delegation continue their tense talks behind closed doors, although at this point, the resolution seems to be either Greek Prime Minister Alexis Tsipras backtracking on his whole ideology and values of an anti-austeritarian politician by accepting even tougher reforms in exchange of a third bailout package or quit the Euro, plain and clear.

Eurozone leaders are offering Tsipras a 3-day headline to pass legislation and approve much tougher reforms in return for a third bailout that will prevent Greek financial system from collapsing. An official familiar with the negotiations said Greek views the Eurogroup draft proposal as 'very bad.'

As Bloomberg reports: "In addition to requirements to cut pensions and raise sales tax, which Tsipras accepted last week, the memo demanded that officials from Greece’s creditors return to Athens with full access to government ministers and a veto over relevant legislation, according to the document."

"Euro-area leaders also want Tsipras to transfer as much as 50 billion euros ($56 billion) of state assets to an independent Luxembourg-based company for sale and make him fire the workers he hired in defiance of Greece’s previous bailout commitments", Bloomberg adds.