Thousands Protest Ahead Of Greek Referendum

Thousands of Greeks have staged rival rallies in Athens ahead of a crucial referendum that could determine the country's future in the eurozone.

At least 20,000 people turned out at each demonstration, two days before the vote which asks Greeks whether they want to accept or reject tough bailout terms imposed by international creditors.

With tensions running high, police fired stun grenades and briefly scuffled with a few dozen black-clad people carrying red flags on the capital's central Syntagma Square, where the "no" rally is held.

The violence appeared to be isolated and the scuffles appeared to calm down quickly, but the twin public meetings, staged just 800 metres apart, raised fears of potential trouble.

Friday was the last day of campaigning ahead of the referendum, which centres on whether Greeks are willing to accept creditors' proposals for further austerity in exchange for more loans.

The latest polls suggest the two sides - the "yes" camp in favour of accepting the creditors' terms and the "no" camp opposed to more austerity - are neck and neck.

The terms have been rejected by the Greek government - elected on an anti-austerity platform - over protracted negotiations with European and international creditors.

Prime Minister Alexis Tsipras has asked Greeks to stand firm against "blackmail, ultimatums and fear". He was cheered as he appeared at the "no" rally.

In a rare move, 16 former armed forces leaders of Greece have signed a joint declaration calling on the Greek people to show "calm and national unity" ahead of the vote.

The letter said "Greece is at a highly critical moment in its history that will require difficult and inevitably painful decisions

"All Greeks, united and above party political lines and divisions, must help with all means available to address this situation with calm and national unity."

Leaders of eurozone nations have said a win for "no" would be a vote against Greece remaining in the eurozone while Mr Tsipras believes it would actually strengthen his negotiating hand.

Sky (Other OTC: BSYBF - news) sources say a "yes" win would be expected to result in the resignation of the Syriza-led government and the formation of a national unity government.

It would be likely to make a quick rescue deal to prevent the prospect of a banking system collapse and exit from the single currency.

The head of the country's banking association said that Greek banks have a "liquidity cushion" of €1bn - but funds beyond Monday depend on the European Central Bank.

"Liquidity is assured until Monday, thereafter it will depend on the ECB decision," Louka Katseli said.

The figures at the heart of the country's financial crisis were earlier laid bare by the International Monetary Fund.

The organisation said Greece faces a huge financial hole regardless of the outcome of the referendum and would need some €50bn (£36bn) as well as a massive debt writedown.

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