Eurozone officials to meet in Vienna on Greek debt: source

31st May 2011, Comments 0 comments

Eurozone junior finance ministers will meet Wednesday in Vienna to go over Greece's debt problems, including the possibility of fresh aid, a European source told AFP on Tuesday.

The ministers' agenda will cover Athens' financial situation and possible new aid on the basis of a draft report by experts from the European Commission, International Monetary Fund and European Central Bank, the source said.

The report, which will identify where Greece stands in its efforts to straighten out its public finances, is officially due at the end of the week, but might be delayed until Monday, the source added.

Greece will probably propose considerable new efforts in exchange for new money in one form or another from the EU, IMF and ECB.

Greek officials are currently locked in negotiations with representatives from the three organisations which last year bailed out the country with a 110-billion-euro ($157-billion) loan.

Athens needs a scheduled instalment of the loan, worth 12 billion euros, to pay its bills in July.

But the IMF has threatened to withhold its share of the funding without a broader agreement that will make Greece's debt -- over 350 billion euros -- sustainable.

The top-selling Greek daily Ta Nea said Tuesday citing sources in Brussels that the country will receive the new loan in return for additional spending cuts and a faster rate of privatisations.

© 2011 AFP

0 Comments To This Article