Obama talks with German leader on Greek debt crisis

Obama talks with German leader on Greek debt crisis
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President Obama spoke Sunday with German Chancellor Angela Merkel on how to handle Greece’s debt crisis with its international lenders.

In the phone call, Obama and Merkel agreed that it is “critically important to make every effort to return to a path that will allow Greece to resume reforms and growth within the Eurozone,” according to a readout of the call from the White House.

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Both countries are closely monitoring the situation, in which Greece and its lenders are racing to solve the country's debt crisis by Tuesday, when its central bank must pay $1.8 billion to the International Monetary Fund from its bailout, The Associated Press reported.

The European Central Bank has so far declined to increase the emergency credit available to Greece.

Meanwhile, Greeks are conducting a major bank run, trying to withdraw large amounts of cash out of fear they will lose their money if the banking system collapses, the AP added. Many banks’ ATMs ran out of cash Sunday morning.

Greece is also preparing a referendum for citizens to weigh in on financing proposals.

During the phone call with Merkel, Obama also offered his condolences for the German citizens who were killed and injured in a terrorist attack near Sousse, Tunisia, on Friday.

German officials have identified at least one citizen who died and one who was injured in the attack, which killed 39 and injured 38.