The delay in Greece repaying its debt to the International Monetary Fund is likely to cause much market uncertainty in coming weeks.
Greek Prime Minister Alexis Tsipras, facing fury among his leftish supporters, demanded changes to tough terms from international creditors for aid to stave off default.
The IMF said Athens planned to bundle four payments due in June into a single 1.6billion ($NZ2.52billion) lump sump, which was now due on June 30.
Craigs Investment Partners broker Chris Timms said it was the first time in five years of crisis Greece had postponed a repayment on its 240billion bail-outs from euro zone governments and the IMF.
Mr Tsipras said earlier this week Athens had the money and would make the payment.
The delay came as German Chancellor Angela Merkel said talks on a cash-for-reforms deal were still far from reaching an agreement.
In a sign of accelerating efforts to bridge the remaining differences, Mr Tsipras, Mrs Merkel and French President Francois Hollande spoke via a conference call, according to a Greek Government official.
Mr Timms said European stock markets closed sharply lower after the announcement, over bond market volatility and jitters over Greece's bail-out talks with international lenders.
''This uncertainty will weigh on the minds of investors. They will be thinking: if Greece won't make this payment, and the others due in June, what happens if Greece misses the June 30 deadline?''
At a glance
• EU/IMF leaders demand asset sales, pension cuts in plan.
• Tsipras says deal ''in sight'' but rejects some demands.
• EU officials see some progress, but more work needed.
• Some Tsipras allies brand mooted deal as ''murderous''.
Tsipras, Merkel, Hollande hold late-night conference call.
