GREECE'S Finance Minister, Yanis Varoufakis, has suggested legal action could be an option to block the country's possible expulsion from the Euro.
“The Greek government will make use of all our legal rights,” He told the Daily Telegraph.
“We are taking advice and will certainly consider an injunction at the European Court of Justice. The EU treaties make no provision for euro exit and we refuse to accept it. Our membership is not negotiable,“ he added.
French President Francois Hollande has said the country's forthcoming referendum on the issue will decide whether it remains in the single currency.
“What is at stake is whether or not Greeks want to stay in the eurozone or want to take the risk of leaving," he said.
German Chancellor Angela Merkel insisted that the Eurozone cannot bend to the will of one member country.
She said that if the basic principles are not upheld, then the currency as a whole would collapse.
It is widely expected Athens will miss a repayment on a €1.6bn loan to the IMF tomorrow - which could lead to the biggest sovereign bankruptcy in history.
However Minister Varoufakis suggestion of legal action could further complicate matters; an injunction against EU bodies at the Court of Justice is unprecedented.
ATMs throughout the country have limited cash withdrawals to just €60 a day.
Holidaymakers travelling to the country are advised to bring enough cash with them to cover their expenses.
Meanwhile prime minister Alexis Tsipras urged Greeks to reject the terms of an international aid deal in a July 5 referendum, dismissing warnings that a 'No' vote would drive Athens out of Europe's currency union.
"I don't think that their plan is to push Greece out of the euro but to end hopes that there can be different policies in Europe," Prime Minister Alexis Tsipras told Greek state television.
He said the stronger the vote to reject the reform-for-aid deal, the stronger the Greek hand in any negotiations that may follow.
Greece, which may default on an International Monetary Fund debt repayment due on Tuesday after talks with creditors broke down, owes its official lenders 242.8 billion euros ($271 billion), according to a Reuters calculation based on official data, with Germany by far the largest creditor.
The euro fell almost 2pc this morning and European share markets looked set to eclipse big declines in Asia, as investors were spooked by the spectre of a Greek debt default which forced Athens to shut down its banks to prevent a run on deposits.
Michael Noonan is completely right when he said on Saturday that we are heading into uncharted waters on Greece. It's a fast-moving situation. Quite frankly, anything can happen between now and tomorrow night, when Greece reaches its IMF deadline and exits its existing bailout.