ATHENS/BRUSSELS (Reuters) – A secret International Monetary Fund study showed Greece needs far more debt relief than European governments have been willing to contemplate so far, as Germany heaped pressure on Athens on Tuesday to reform and win back its partners’ trust.
The IMF’s stark warning on Athens’ debt was leaked as Greek Prime Minister Alexis Tsipras struggled to persuade deeply unhappy leftist lawmakers to vote for a package of austerity measures and liberal economic reforms to secure a new bailout.
BRUSSELS, July 14 (Reuters) – Euro zone finance officials
were struggling on Tuesday to find a way of keeping Greece from
defaulting on debt repayments to the ECB next week, with up to
six options on the table but none that is problem-free.
Greece needs 3.5 billion euros ($3.9 billion) by Monday to
redeem its maturing credit from the European Central Bank.
Before this is paid, however, Athens has to settle an overdue
payment to the International Monetary Fund of more than 2
BRUSSELS, July 13 (Reuters) – Euro zone finance ministers
asked experts on Monday to prepare options of bridge financing
for Greece during four-week talks on a third bailout and expect
to decide on one of them by Wednesday morning, the chairman of
the ministers said.
The opening of talks on a new Greek bailout of 82-86 billion
euros is to be formally decided at the end of the week on
condition that Greece’s parliament passes a raft of laws by
Wednesday night to show it is ready to reform.
BRUSSELS (Reuters) – Euro zone finance ministers will discuss on Monday how to keep Greece financed during the time it will need to agree a third bailout, but none of the options under consideration appear easy, officials said.
“The big issue for today is going to be bridge financing and I foresee those negotiations being very difficult because I don’t see many countries having a mandate to give money without any conditions,” said Finnish Finance Minister Alexander Stubb.
BRUSSELS (Reuters) – Caught between the rock of throwing good taxpayers’ money after bad in Greece and the hard place of opening a dangerous crack in their common currency, tempers are fraying among euro zone ministers meeting in Brussels.
So heated did arguments become after nine hours of their sixth emergency council in three weeks that the chairman called a surprise halt just before midnight on Saturday in the hope talks which resumed on Sunday could proceed with clearer heads.
BRUSSELS, July 11 (Reuters) – Euro zone finance ministers
were told on Saturday that some 25 billion of any bailout loan
to Greece would be needed to recapitalise banks that are on the
verge of collapse, sources close to the discussions said.
That is more than double the amount that Athens forfeited in
financial stability funds at the end of June when it walked away
from talks on completing a previous bailout programme.
(Reuters) – Euro zone finance ministers meeting in Brussels on Saturday have serious doubts about Greece’s request for a bailout and a deal to start negotiating on the basis of Athens’ proposals is far from certain, sources close to the talks said.
Overnight, the European Commission, European Central Bank and International Monetary Fund gave a positive assessment of the cash-for-reforms plan put forward on Thursday by Greek Prime Minister Alexis Tsipras, according to EU officials.
BRUSSELS (Reuters) – Euro zone finance ministers are discussing how to handle the fallout from a Greek default next week after Athens broke off negotiations on a financing-for-reforms package and called a referendum on the creditors’ reform demands for July 5.
Greece has to pay 1.6 billion euros ($1.8 billion) to the International Monetary Fund next Tuesday but does not have the money and because it is cut off from markets it can only avoid defaulting if it fails to get new loans from the other euro zone governments.
BRUSSELS (Reuters) – Greek Prime Minister Alexis Tsipras accused international creditors of “blackmail” on Friday after euro zone partners warned Athens it had 48 hours to accept a cash-for-reform deal or plunge toward default next week.
But despite angry rhetoric on both sides, negotiations were continuing in Brussels to find a last-ditch compromise to keep Greece in the euro zone to avoid a political train-wreck, economic chaos and financial market disruption.
BRUSSELS/ATHENS, June 25 (Reuters) – Greece’s international
creditors gave Athens an ultimatum to come up with a credible
reform plan on Thursday warning they would otherwise put their
own proposals to euro zone finance ministers for approval, a
euro zone official said.
The dramatic move came hours before European Union leaders
meet in Brussels for a summit on migration, the long-term future
of the euro zone and renegotiating Britain’s membership terms,
that has been overshadowed by the looming Greek debt crisis.