It lasted an hour and a half; was not asked to extend the bailout program.
The Managing Director of IMF and Yanis Varoufakis, Greek finance minister, they experienced an embarrassing moment. Photo: AP
The meeting of finance ministers from the euro zone in Luxembourg ended “no decision” on Greece to reach agreement on reforms They asked to implement as it is dangerously close to default.
The discussion on Greece lasted an hour and a half and was described by a European diplomatic source as “tragic”.
“There was even an order to extend the (second) program” bailout agreed in 2012 and which ends later this month, said the source.
Yanis Varoufakis, Greek finance minister warned that “an accident” in the fierce negotiations between Greece and its members and creditors to unlock a new vital support for Athens was “dangerously close”.
“I said that we are dangerously close to a mental state in which It accepts an accident, “he said after the meeting. “I was asked my colleagues who do not accept this way of thinking,” he said.
Athens has until June 30 to pay the International Monetary Fund (IMF) the sum of 1,600 million euros. But to meet this maturity, you need the last part of the ransom of 7,200 million euros, locked for months.
Prior to the meeting, Christine Lagarde, IMF Managing Director, caused an awkward moment Yanis Varoufakis, to present himself as “chief criminal” by the Greek government strong statements against the Fund.
“A you should like it currently is criminal in chief to greet the other side” Lagarde said with serious gesture, according to sources invited to the conversation of the Eurogroup. Although Varoufakis tried to justify himself, Lagarde said: “I know what you said after”
Lagarde warned that Greece does not have a “grace period” to pay maturities with the international organization.. “I have a maturity on June 30. No grace period. If the July 1 was not paid, you are not paid, “he said.
The fate of Greece depends on an agreement with creditors on cuts and reforms that must be implemented.
With regard to negotiations and in particular pensions, blocking any agreement between Athens and its creditors, Lagarde appeared open to dialogue.
“We are ready to talk,” he said, with Pierre Gramegna, Minister Luxembourg Finance. “Small pensions will be preserved,” he added. Athens accuses its creditors, in particular the IMF, to force to impose cuts in lower pensions.
EU convenes special summit
The European Union (EU) called a extraordinary summit next Monday in Brussels, where he played all or nothing to prevent the “worst” to Athens and the euro area.
“I decided to convene a summit of the euro zone (.. .) It is time to discuss urgently the situation in Greece at the highest political level, “he said in Brussels Donald Tusk, President of the European Council, setting the meeting for Monday, three days before a regular summit of EU leaders .
For his part, Pierre Moscovici, European Commissioner for Economic Affairs, said that Greece “has to accept a reasonable compromise” to “avoid a result that would be a catastrophe” at the end of the ministerial meeting Finance of the euro zone in Luxembourg.
“There is little time to avoid the worst. The end of the game is getting closer, “he said.
Jeroen Dijsselbloem, Eurogroup Chairman acknowledged that the euro area” is prepared for all eventualities “. However, Moscovici who he recognized that the situation is “very difficult and worrisome,” called on the Greek government “to seriously return to the negotiating table”.
Members of Athens, not believed in the possibility of concluding the negotiations, expected at least to the Greek minister concrete proposal made counterproposals creditor institutions, the EU and the IMF, to achieve the goals set.
The government of Alexis Tsipras is reluctant to accept reforms as demanded by the creditors, since many election promises contradict his party’s radical left, Syriza.
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