Finance minister accuses creditors of trying to 'terrorise' Greeks

Greece's finance minister accused creditors of trying to "terrorise" Greeks into accepting austerity, warning Europe stood to lose as much as Athens if the country was forced from the euro after a referendum today on bailout terms.

After a week in which Greece defaulted, shuttered its banks and began rationing cash, Greeks are voting on whether to accept or reject tough conditions sought by international creditors to extend a lending lifeline.

The left-wing government is urging a "no" vote, saying Greece's European partners are bluffing when they warn that would mean a Greek departure from Europe's single currency.

Opinion polls gave the "yes" camp, which favours accepting the bailout terms, a slender lead but pollsters said the vote was too close to call.

Greece's European partners say the euro zone is better placed to minimise the impact on its vulnerable southern flank from a Greek exit than several years ago. But Greek Finance Minister Yanis Varoufakis said Europe stood to lose more than Greece.

"If Greece crashes, a trillion euros will be lost. I don't believe Europe could allow it," he told Spanish newspaper El Mundo.