By Renee Maltezou and Jan Strupczewski ATHENS / BRUSSELS (Reuters) – Germany on Thursday rejected the proposal of Greece for a six-month extension of its loan agreement with the eurozone, saying “it is not a substantial solution” because it does not agree to Athens to meet the terms of its bailout. The position of Berlin presents a complicated scenario ahead of the meeting Friday, finance ministers of the euro zone, in which the new government in Greece will receive strong pressure to make more concessions. Germany has the clout to block the deal and leave Greece without vital funding, which could lead to being out of the eurozone. But officials in other European countries believe that Germany’s response was tactical and provide for an agreement over the weekend after new negotiations. A Greek official said the prime minister, Alexis Tsipras, and German Chancellor Angela Merkel held a telephone conversation on Thursday 50 minutes. “The conversation took place in a positive atmosphere, directed towards finding a beneficial solution for Greece and the euro zone,” the official said. A German spokesman confirmed the conversation, but did not refer to its contents. Earlier on Thursday, the Greek Finance Minister, Yanis Varoufakis, formally requested an extension of six months of its loan agreement with the euro area, offering major concessions on the run to avoid running out of cash. Continued …
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