Greek Official to Meet with International Creditors

Greek Prime Minister Alexis Tsipras

Greek Prime Minister Alexis Tsipras told Jeroen Dijsselbloem, chairperson of the euro region finance ministers that Greek officials will meet with representatives of the International Monetary Fund, European Commission and European Central Bank tomorrow.

Dijsselbloem divulged that he will request these institutions to discuss with Greek leaders technical evaluation of mutual agreement between the existing program and Greek proposal. This can facilitate important talks between the finance ministers on Monday.

The turnaround of Tsipras can be the first step toward resolving the Greek controversy that can produce more financial unrest.

Officials in Athens see this as a positive development leading to a new pact with the nation’s creditors.

The step forward took place after the governing council of the ECB prolonged cash support to Greek commercial banks for one more and granted additional 5 billion euro in terms of emergency lending assistance by the central bank. The council also opted to examine the program on February 18.

The ECB consented to provisional funding appropriate for banks when it ceased to accept government bonds from Greece in exchange for liquidity.

Meanwhile, German Chancellor Angela Merkel said she was ready for a concession with finance ministers having some more time to mull over proposals from Greece prior to their meeting on Monday.

Tsipras has reportedly not agreed to meet with the three agencies but with a group labeled as the Euro Working Group.

EU leaders believe Greece must show consideration for budget discipline and commitments to economic restructuring if it expects continuous aid.

ECB policy makers opined official loans are covered by extended maturities, reduced interest rates and interest repayment cessation. Hence, rescheduling is not going to help Greek funds in the interim.