Greeks are trying to remain calm days before a July 5 referendum that could determine whether Greece drops the euro currency, and returns to its previous currency, the drachma.

Greece is set to become the first developed nation to fail to repay its debts to the International Monetary Fund. The country owes the IMF about 1.6 billion euros by the end of Tuesday, but has not secured funds to repay the money.

Bailout money from the European Union is set to expire at the end of Tuesday, meaning Greece would not be able to access any rescue loans to repay its debt.

The situation prompted Greek Prime Minister Alexis Tsipras to call a referendum on the weekend on the latest proposals for a bailout package put forth from international creditors. This stoked fears that a "no" vote would propel Greece to default on its debt, and eventually drop the euro currency.

The Greek government instituted a strict withdrawal limit of 60 euros a day at ATMS, and shuttered banks across the country.

On Monday, long lines of people could be seen queuing at ATMs and at gas stations, as residents filled their tanks with gasoline. The country's transport minister promised Monday that public transit in Athens will be free until July 7, to ease the pressure on gas stations.

Greek businesses told The Associated Press about the difficulties of operating on a cash basis, with some noting that they may have to lay off employees should the situation continue. Restaurant owner Yannis Iliopoulous said the ATM limits have resulted in less Greeks coming into his café to buy coffee and sweets.

Athens resident Alex Bekos told CTV's Canada AM that despite the uncertainty over the future, Greeks are trying their best to maintain their daily lives.

"We are trying to be calm, we don't want to be nervous," he said. "So we try to continue our habits, (we) don't change our daily lives."

He said most young Greeks use their debit and credit cards to purchase necessary items, so they haven't been affected too harshly by the bank closures.

However, many elderly Greeks still primarily use cash, he noted, adding that pensioners are particularly worried about not being able to get their money.

"Now they're very afraid," Bekos said. "Usually they're retired people, and their only wages is what the government will give them."

Bekos, who has two sons and whose wife recently gave birth to a baby girl, said he has some concerns about whether he will be able to get enough food and medicine for his newborn in the future.

"We can see there are a lot of problems in our daily lives, but we can find ways to give them what they need."

'Growing anticipation'

Spyros Blavoukos, an economics professor at Athens University, said the public's mood is one of "growing anticipation."

"After a long time of hearing things and rumours, it's decision day," he told CTV's Canada AM. "We have to make up our minds and move forward, whatever that forward entails."

He said the public is divided on the referendum, knowing that a "no" vote may lead to the country dropping the euro currency, but a "yes" vote will lead to more austerity measures.

The Greek government has openly advocated for a "no" vote.

"There is a division within the public and a big polarization on that issue, because the public has realized that there is more at stake rather than only the austerity measures that are put forward in the direct question of the referendum," he said.

Blavoukos stressed that exiting the euro currency does not mean that Greece will exit the EU.

"It's a non-issue," he said. "I don't think the Greek public has any thoughts or second thoughts about accession or membership in the European Union per se."

With files from The Associated Press and AFP