Greece's Varoufakis still hopes for last-minute deal

BRUSSELS (Reuters) - Greek Finance Minister Yanis Varoufakis held out hope on Saturday of a last-ditch agreement with creditors to prevent Greece defaulting on its debt and sliding towards the euro exit, despite clear signs from lenders that the door was closed. "In these crucial moments, the Greek government is fighting for there to be a last minute deal by Tuesday," Varoufakis told reporters in Brussels, referring to the June 30 deadline when a 1.6 billion euro payment to the International Monetary Fund falls due. He said the refusal of euro zone finance ministers to accept Greece's request for a short extension to the bailout agreement to take account of the referendum announced for July 5 struck a serious blow to one of the foundations of the single currency. "That refusal will certainly damage the credibility of the Eurogroup as a democratic union of partner member states. And I'm very much afraid that damage will be permanent," he said. (Reporting by Renee Maltezou)