EUROZONE-GREECE/EUROGROUP ARRIVALS Euro lenders to pass bailout judgment as Greece backs reforms

Record ID: 147632

  • Title: EUROZONE-GREECE/EUROGROUP ARRIVALS Euro lenders to pass bailout judgment as Greece backs reforms
  • Date: 11th July 2015
  • Summary: BRUSSELS, BELGIUM (JULY 11, 2015) (REUTERS) EXTERIOR OF BUILDING WHERE MEETING OF EUROZONE FINANCE MINISTERS (EUROGROUP) WILL TAKE PLACE EU FLAGS NEW GREEK FINANCE MINISTER, EUCLID TSAKALOTOS, ARRIVING INTERNATIONAL MONETARY FUND MANAGING DIRECTOR, CHRISTINE LAGARDE, ARRIVING (SOUNDBITE) (English) INTERNATIONAL MONETARY FUND MANAGING DIRECTOR, CHRISTINE LAGARDE, SAYING: "I
  • Embargoed: 26th July 2015 13:00
  • Keywords:
  • Location: Belgium
  • Country: Belgium
  • Topics: General
  • Reuters ID: LVACN62V8WOLCKL95ISY3NXHQWMM
  • Aspect Ratio: 16:9
  • Story Text: Greece's creditors gathered in Brussels on Saturday (July 11) to inspect the country's latest proposals to secure a bailout and avoid exiting the single currency.
    Greek Prime Minister Alexis Tsipras won backing from lawmakers on Saturday for painful reforms but it remained unclear it would be enough to secure a bailout from German and other eurozone ministers meeting in Brussels.
    Germany, the biggest creditor in two previous bailouts totalling 240 billion euros ($265 billion), is deeply sceptical after five months of abortive negotiations. Eurozone sources said it was far from certain that the 19-strong Eurogroup of finance ministers would agree to open negotiations at a crisis meeting scheduled to start at 3 p.m. (1300 GMT).
    The European Commission, ECB and IMF told eurozone governments after a review of Tsipras's proposals that there was sufficient basis to start negotiating conditional loans from the currency bloc's ESM bailout fund.
    "I think we are here to make a lot more progress," IMF Managing Director Christine Lagarde said upon arrival at the Eurogroup meeting.
    In parliament overnight, Tsipras had to rely on opposition votes from the right after some of his leftist allies opposed spending cuts, tax rises and other measures he proposed in order to unlock 54 billion euros in three-year credit and save Greece from a bankruptcy that would force it out of the eurozone.
    A positive assessment of the Greek proposals delivered by the European Commission, European Central Bank and International Monetary Fund late on Friday, along with bullish comments from Athens' key eurozone ally France, had raised expectations that the Eurogroup would give a green light to new loan negotiations.
    "I note that the Greek government has made significant gestures, has sent a request for a (bailout) programme. The Greek parliament voted yesterday massively in favour of a list of reforms, which is a sign of commitment towards Europe. The three institutions played their role, the [European] Commission, the International Monetary Fund, the European Central Bank. Together, we have said the Greek reform programme could constitute a basis for a new programme from the European Stability Mechanism," EU Commissioner for Economic and Monetary Affairs, Pierre Moscovici, told journalists in Brussels.
    Eurozone leaders, including Merkel and French President Francois Hollande, are due to meet on Sunday, either to endorse the ministers' decision or, along with other EU leaders, to take steps to contain the fallout from a looming Greek bankruptcy.
    With Greece's banks shut and completely dependent on a credit lifeline from the European Central Bank, the measures were seen as a last chance to avert financial collapse.
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2015. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register