Germany has rejected Greece’s bid to secure an extension of up to six months on its debts.
A spokesman for German finance minister Wolfgang Schäuble said: “The letter from Athens doesn’t offer a substantial proposal for a solution.”
The rejection comes as time continues to run out on negotiations. Ministers are due to meet today in Brussels for another round of talks.
Greece’s current bailout expires on 28 February, and after talks fell apart earlier this week, chairman of the Eurogroup of finance ministers Jeroen Dijsselbloem said a deal must be made imminently.
He said: “We can use this week, but that’s about it.”
Greece’s recently-elected Syriza party has been seeking to avoid a long-term renewal of current bailout terms in order to secure a loosening of auterity requirements, and is reportedly proposing a debt refinancing driven by bonds linked to its GDP.
Earlier this week, Greek finance minister Yanis Varoufakis described an EU offer to extend the country’s current €240bn (£178bn) bailout on its current terms as “absurd” and “unacceptable”.