The municipality of Acharnes in northern Athens has decided to suspend all of its operations after running out of money.
The municipal council met on Thursday night and voted to stop providing anything other than basic services because of its inability to pay employees? wages and regular expenses.
?Acharnes Municipality will remain closed indefinitely, until the financial problem can be resolved,? the local authority said in a statement.
The municipality will operate with just skeleton staff, which trash will only be collected from outside schools.
Mayor Sotiris Douros is due to meet Interior Ministry officials on Friday to discuss the municipality's problems.
He wants the government to reduce from 11.5 percent to 5.5 percent the interest rate on a loan to the municipality. Douros argues that the monthly loan repayments of 500,000 euro is to high.