EU suspends €8bn in Greek aid; threatens membership

From FT.COM:

European leaders suspended an overdue tranche of €8bn in international aid to Athens and demanded Greece make a clear decision on whether it wanted to leave the eurozone at a dramatic meeting on the sovereign debt crisis on Wednesday night.

Under strong pressure from French president Nicolas Sarkozy and Angela Merkel, the German chancellor, Greek prime minister George Papandreou agreed to bring forward a planned referendum on the issue to as early as December 4.

He said the referendum would be about Greece’s continued membership of the eurozone, not just about €130bn rescue plan agreed after painstaking negotiations at a Brussels summit last month…

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