Government committed to mutually beneficial solution

More specifically, the sources said that the Greek government remains firmly committed to seeking a mutually beneficial solution with its European partners, through the continuation of the negotiations, and also believe that the finding of such a solution is totally feasible.

Furthermore, the Greek government will not accept ultimatums and is determined to honour the popular mandate and history of democracy in Europe, as "the memorandum has caused a humanitarian crisis and has led the economy into a deadlock. Its immediate end is not only dictated by the outcome of the elections, but also by common sense."

According to the same government sources, the document submitted on Monday by Eurogroup chief Jeroen Dijsselbloem included some points that could not be accepted by the Greek government, such as:

- "The Greek authorities have made it clear that they intend to successfully complete the programme taking into account the Greek government's plans."

- "The Greek authorities have expressed their firm commitment to refrain from any unilateral action or movement and will work in close agreement with the European and international partners, particularly in the area of tax policy, privatization, labor market reforms, economic sector and the pensions."

"On this basis, the Greek authorities have expressed their intention to request a six-month technical extension of the current programme as a transitional step."

Moreover, they said the text which would be the basis for discussion at the Eurogroup meeting and on which the Greek side was in principle positive, had propulsive points, such as:

"The Greek government (...) announced its intention to take extraordinary measures to ensure a fairer and more efficient tax system and constrain the humanitarian crisis."

"Measures to reduce the debt burden and achieve a further sustainable reduction of Greek debt per GDP ratio should be considered along with the commitments of the Eurogroup in November 2012."

"These form a basis for an extension of the current loan agreement, which could take the form of a [four month] interim programme, as a transitional step towards a new pact for growth for Greece, which will be conducted and completed in this period."

According to the same sources, special attention should be given to the observations of Nobel Prize-winning economist Paul Krugman, in a New York Times article. “The point is that now, more than ever, it is crucial that Europe’s leaders remember the right history. If they don’t, the European project of peace and democracy through prosperity will not survive,” Krugman said in his article.

“About those reparations: The basic story here is that Britain and France, instead of viewing the newly established German democracy as a potential partner, treated it as a conquered enemy, demanding that it make up their own wartime losses,” he wrote.

The lenders’ demand for the full repayment of their debts from devastated economies (“real Greek GDP per capita fell 26 percent from 2007 to 2013, compared with a German decline of 29 percent from 1913 to 1919," Krugman wrote) destroy the economies of those countries, according to the economist.

The achievement of higher primary surpluses would lead Greece to deep recession, Krugman wrote according to the government sources. “Put it all together, and attempting to cough up the extra 3 percent of GDP the creditors are demanding would cost Greece not 3 percent, but something like 8 percent of GDP,” Krugman added.