The planned Greek referendum on the country's bailout terms effectively boils down to a choice between the present government and Europe, according to Prime Minister Joseph Muscat and Opposition Leader Simon Busuttil.

Greek Prime Minister Alexis Tsipras rejected the proposed bailout terms during last week's European Council, and announced a surprise referendum, which is set to take place on 5 July, on the matter. The government's intention is to recommend a no vote.

Dr Muscat noted that the Council was not given any advance notice of the Greek government's plans, and said that the Maltese government was also concerned that there were elements urging Greeks not to vote, so that the turnout falls below the 50% threshold required to make it binding. Such a result, he said, would lead to more uncertainty.

The Prime Minister also noted that if the Greeks voted to accept the bailout conditions, their government's position would no longer be tenable, whilst if they voted no, they would effectively deciding to leave the Eurozone.

This sentiment was later echoed by Dr Busuttil, who said that the choice the Greeks faced was between their Prime Minister and Europe.

Dr Muscat also noted that there were new developments this evening, as the Greek government was now seeking the resumption of negotiations, an even indicating that it could change its recommendation to the Greek electorate or suspend the referendum.

The Eurogroup - the eurozone's finance ministers - began meeting by teleconference at 7pm to discuss a possible deal.

Dr Muscat said that this could be a breakthrough, although he noted that the Greek government may be posturing or playing for time.

Malta, he said, hoped that Greece would remain in the Eurozone, but said that "with solidarity comes responsibility."

Dr Busuttil then argued that wherever it was managed well, the euro translated to increased wealth, including in Malta, but highlighted that Greece failed to prepare properly for the change in currency.

He noted that the EU may have erred in failing to carry out proper checks before Greece was admitted to the Eurozone, but ultimately, the country should have undergone the necessary, tough, reforms beforehand, highlighting that Malta faced a very tough time in the run-up to its own adoption of the euro in 2008.

Greece, Dr Busuttil said, has seen reckless public spending and institutionalised corruption, among other problems, and its present situation was no surprise.

The PN leader said that he hoped that the Greeks would vote yes in the upcoming referendum and remain in the EU and in the Eurozone.

But he also emphasised that his party was 100% behind the government and the European Council when it came to their dealings with Greece.