Angela Merkel caught in referendum row with Greece

Conal Urquhart and agencies guardian.co.uk, Friday 18 May 2012 23.27 BST

Greece claims German leader advised it to hold a referendum on euro membership – but her spokesman denies allegations

German chancellor Angela Merkel was caught up in the referendum row as she visited America for the G8 summit. Photograph: Jacquelyn Martin/AP

German-Greek relations were further strained on Friday after the German chancellor, Angela Merkel, was heard advising Greece to hold a referendum on its membership of the euro.

Greek politicians reacted angrily, but Merkel's aides insisted she had not suggested a referendum during a telephone call on Friday with the Greek president, Karolos Papoulias.

The Greek government's spokesman, Dimitris Tsiodras, said: "[Merkel] relayed to the president thoughts about holding a referendum in parallel with the elections on the question whether Greek citizens wish to remain in the eurozone."

A German government spokesman rejected the idea that Merkel had proposed a referendum. "This is false and we completely dismiss this," he said.

Some commentators suggested that the misunderstanding was due to an error in translation. One said that Merkel had said that the 17 June elections in Greece would be like a referendum on the country's membership of the euro.

But Greek politicians criticised Merkel's perceived interference in Greek affairs.

Alexis Tsipras, the leader of the leftwing Syriza party that wants to renegotiate Greece's bailout by the EU and the IMF, said: "Ms Merkel is used to addressing Greece's political leaders as if the country was a protectorate."

Antonis Samaras, a conservative, also criticised Merkel's suggestion. "The Greek people don't need a referendum to prove they're pro-euro. Her idea is unfortunate, to say the least, and can't be accepted," he said.

The elections will take place amid confusion in Greece over which economic path to take. Opinion polls suggest that Greeks want to remain in the euro but do not want to abide by the austerity programme demanded as part of the international deal to finance Greece's debt.

Merkel and other European leaders have told Greece they must continue the austerity programme if they want to remain in the single currency.

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