deal or default all bets are off on greeces debt talks
Last Updated : GMT 20:24:36
Arab Today, arab today
Arab Today, arab today

Deal or default? All bets are off on Greece's debt talks

Arab Today, arab today

Arab Today, arab today Deal or default? All bets are off on Greece's debt talks

Greece can strike a deal
Athens - AFP

Some are convinced that a deal will be done between Greece and its creditors to unlock vital bailout funds while others are betting that the cash-strapped nation will default and be jettisoned from the eurozone.

As negotiations between Athens and its creditors hurtle to the April 24 deadline, the only thing that is clear is that the Greek government's coffers are emptying out in the meantime.

Athens therefore desperately needs a deal with its creditors to unlock 7.2 billion euros ($7.6 billion) -- the last tranche of a 240-billion-euro bailout accorded in 2010. But the lenders are holding out for better reforms from Athens.

Greece's public balance sheet also appears to be in a worse shape than thought, as official data showed Wednesday that the deficit was more than twice as wide as forecasted.

The budget deficit reached 3.5 percent of GDP in 2014, although the government that preceded the radical leftist government elected in January had forecast a deficit of 1.3 percent of GDP, while the European Commission's forecast was 1.6 percent.

The Greek government is expected to put a new list of reforms to its eurozone partners within days as eurozone finance ministers are due to discuss them on April 24.

If no deal is done by then, the country would soon be forced to default on its debt.

The first key date to come up following the eurozone talks is May 6, when about one billion euros is due for repayment to the IMF.

That is a small sum compared to the 9 billion due in July and August, this time to the ECB.

Nevertheless, Prime Minister Alexis Tsipras's government is putting on a brave front.

Finance Minister Yanis Varoufakis insists that "we are ready to make all kinds of compromises, even if we have to pay a political price, but we will not compromise ourselves".

"I am very confident," Varoufakis said.

"We will find a compromise," added Employment Minister Panos Skourletis.

But creditors are more pessimistic.

- Third bailout package? -

A German official said Monday that there was no progress in the talks that could unlock the funding.

The IMF's representative in Europe, Poul Thomsen also gave the same assessment, according to Greek television Antenna.

In Washington, IMF economist Olivier Blanchard said a "Greek crisis cannot be ruled out, an event that could unsettle financial markets."

Others were less alarmist.

Europe's Economy Commissioner Pierre Moscovici urged "a calm and serious approach" to Athens while Klaus Regling, head of the EU's bailout fund the European Stability Mechanism, called for patience in dealing with the new government.

Varoufakis will be attending an IMF meeting in Washington on Thursday, and also hopes to meet with President Barack Obama.

Guillaume Menuet, an economist at Citi, counts on the parties to find a deal.

"Neither Greece nor its main creditors want it to leave the eurozone. We believe that a deal would be found at the April 24 meeting," he said.

Nevertheless, any measures proposed by Tsipras's government would have to be cleared by parliament. When that could be is unclear.

These uncertainties are fuelling speculation that Greece may have to default at some point.

Athens has been busy beating off alarmist rumours swirling in foreign media in the past few days, saying that April 24 will be "another date when it will not be the end of the world".

In any case, Menuet said the Greeks would have to "begin considering a third bailout programme" worth between 25 and 50 billion euros in order to meet debt repayment obligations in coming months.

For now, Greek officials battling to put out the immediate fire are in no mood to discuss this, saying their current focus is the renegotiation of the country's outstanding debt.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

deal or default all bets are off on greeces debt talks deal or default all bets are off on greeces debt talks

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

deal or default all bets are off on greeces debt talks deal or default all bets are off on greeces debt talks

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today PNG police start removing refugees

GMT 03:00 2017 Friday ,24 November

PNG police start removing refugees
Arab Today, arab today Sophian Yussef reveals suitable decoration

GMT 02:56 2017 Thursday ,23 November

Sophian Yussef reveals suitable decoration
Arab Today, arab today Syria congress to go ahead

GMT 02:24 2017 Friday ,24 November

Syria congress to go ahead
Arab Today, arab today IS media offline for a day

GMT 02:10 2017 Friday ,24 November

IS media offline for a day
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Human form of 'mad cow' disease

GMT 00:11 2017 Friday ,24 November

Human form of 'mad cow' disease
Arab Today, arab today British woman jailed in Iran to appear

GMT 03:19 2017 Friday ,24 November

British woman jailed in Iran to appear
Arab Today, arab today 'Trash islands' off Central America indicate

GMT 20:19 2017 Friday ,24 November

'Trash islands' off Central America indicate
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mitsubishi Materials units falsified product

GMT 03:24 2017 Friday ,24 November

Mitsubishi Materials units falsified product
Arab Today, arab today 'Robo-taxis' hold promise, and perils

GMT 08:07 2017 Thursday ,23 November

'Robo-taxis' hold promise, and perils
Arab Today, arab today Solaf happy for participating in “Hotline”

GMT 07:56 2017 Wednesday ,22 November

Solaf happy for participating in “Hotline”
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead

GMT 08:03 2017 Tuesday ,21 November

Abeer Sabry reveals reason of “The Flood” success

GMT 08:03 2017 Thursday ,23 November

Srebrenica women cry tears of joy

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts

GMT 09:12 2017 Thursday ,23 November

4 in 10 cancers due to modifiable risk

GMT 10:47 2017 Wednesday ,22 November

The Big Apple bike boom

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday