Critical negotiations with institution representatives continue
The talks between the Greek government and the institution representatives are…
The talks between the Greek government and the institution representatives are scheduled to continue on Wednesday, with the out-of-court settlement of business arrears and new privatization ‘super fund’ on the agenda. A government source commented that there is no set deadline for the departure of the institution representatives from Athens.
Sources also suggest that an agreement will be reached on the out-of-court settlement on Wednesday, however three issues have yet to be addressed, namely the interest rate to be imposed on debt settlements, the adjustment of guarantees based on the agreement reached, as well as how debts towards the State will be treated. Government sources have not rule out the possibility of a haircut for debts towards the State, however this will also require a similar approach to outstanding debts towards banks.
The major unresolved issues however are labor related and will be examined in the next few days. The IMF’s call for additional measures for 2018-2020, in order to participate in the Greek program, may also be discussed following the Prime Minister’s talks in Brussels and Berlin.