Date
27 July 2017
Pensioners march during a demonstration in Athens on Tuesday. The Greek government is facing a backlash over proposed austerity measures as it tries to secure fresh bailout funds. Photo: Bloomberg
Pensioners march during a demonstration in Athens on Tuesday. The Greek government is facing a backlash over proposed austerity measures as it tries to secure fresh bailout funds. Photo: Bloomberg

More talks seen as creditors study Greek bailout offer

Greece’s creditors on Tuesday studied a proposal seen as a potential breakthrough on a last-minute bailout deal, but suggested that more talks may be needed before an agreement can be sealed.

IMF is still unhappy with key aspects of Greece’s new economic proposals, the Wall Street Journal reported.

Greece’s plan calls for reducing the deficits in its pension system and government budget by relying heavily on raising taxes and social-security contributions, whereas the IMF wants bigger spending cuts, it said.

Meanwhile, German officials were said to be unhappy at the speed with which the European Commission had welcomed the Greek proposals.

European leaders on Monday held a series of meetings in Brussels over a cash-for-reforms deal for Greece.

Officials had expressed hope that eurozone finance ministers can sign off on a policy package on Wednesday.

A summit of European leaders on Thursday and Friday could be the final chance to find a solution if a Wednesday meeting fails, the Journal noted.

Greece needs to secure financing in some form before June 30, when it is due to repay a 1.55 billion euro (US$1.73 billion) loan from the IMF. 

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RC

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